CCI got a huge volume today, maybe soaring next. Anyone know the reason?
CCI got a huge volume today, maybe soaring next. Anyone know the reason?
Very interesting big volume the last few days perhaps an announcement is about to be released? Inside trading maybe?
Do you hold john? Looking from the charts it would be so easy to day trade with this stock as we see occuring patterns.
Any updates on this stock?
Had biggest volumes for a while on the whole of the asx and has since dropped off.
I got a tip off a mate not long ago about CCI, turns out it was the other CCI holdings.
Been watching them every day. Dont know much about the company myself however just have been lookin at the charts. CCI ranges from 14% up or down when it moves, so I say it would be good for quick short trades however there is high risk obviously. Anyone know much about the fundamentals of this company and what we can expect the sp to do in the following months? I am so tempted to buy in right now.
Is it a buying op at the moment? Wouldn't matter if it was for me, as per usual Pestpac brokeng is pacdup.
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How low can a sp go before a co disapears into nothingness???
having released another quadrillion shares start of this month to pay the secretarys retainer the sp dropped .005 to .004 .
I wish I could short stocks, this one is a sure thing, 25% drop next mth when more shares are released to pay that sassy secretary.(& the office rent).
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I am a member of a trading group and we have been running for 9 months. We currently hold OXR, BMN, QOL and CCI (previous trades have been PDN, HVN, PST, AGX, TOE).
I am wondering if anyone has any opinion on CCI (Chrome Corporation). I am considering selling BMN (Bannerman) to accumulate more CCI.
We bought CCI at 12c a few weeks ago and they closed on Friday at 16.5c. The reason we decided to buy CCI was:
1. The company has been idle for some years (over 10 yrs), but recent announcements are encouraging re. recommencing mining (chromite).
2. The company previously mined underground which was expensive, and at a time when chromite prices were very low. During this period, share price was as high as around $3.00
3. The new proposed form of mining will be open-cut (much less expensive), and chromite prices are much higher.
4. The area the company will be mining holds over 50% of the world's chromite deposits.
5. The company is expecting mining approval from the Department of Mining and Energy between now and October, at which time mining will commence immediately.
Any feedback would be appreciated. Sell BMN and accumulate more CCI???
It would have been a good one to have in the stock comp. 800% rise. Where it will go now is a guess. Ask YT he's the guru. Did it have a capital reconstruction though. I believe it did.
I think it was a 1 share for 20 held restructure from memory. And given it was trading at around .005 prior to that, its friday close of 15 or 16c isnt a bad result. Not sure long term, it was on my watchlist, but havent paid much attention to it lately.
Yes that's right, there was a 1 for 20 consolidation. Trading after the consolidation started at 12 cents, and Friday close was 16.5 cents (over 30% increase). It seems reasonable to me that an idle company (not mining, not income generating at all) which is recommencing production, has nowhere to go but up in share price terms??? Like I said, I currently hold these shares and am probably going to accumulate more this week - maybe this is wishful thinking!
CCI doesn't satisfy any of my normal trading criteria, but there are lots of green lights for this company leading up to mining approval between now and October (a bit like Queensland Ores QOL in terms of an expected increase in value leading up to the opening of their Moly mine).
Also, for the share price to be up around $3 previously at a time when operations were expensive and chromite prices were low, it would seem reasonable that lower cost production and higher income from chromite would resurrect this sleeping beauty. I have my fingers crossed.
I bought 26,150 CCIO last year and haven't looked at anything since today and I still have them there. Can I sell them or exercise them or whats the go?
China chrome ore import in 7 months up by 38.3% YoY
It is reported that China’s chrome ore imports climbed in January to June 2007 to 2.834 million tonnes valued at USD 620 million up by 38.3%YoY and 86.3%YoY respectively as compared with the same period of 2006. Import price averaged USD 219 per tonnes up by 34.7%.
South Africa and Turkey are the top exporters with 802,000 tonnes and 558,000 tonnes respectively up by 140% YoY and 88.4% YoY. The two countries provided 48% of China's total imports during the period. Imports from India dropped dramatically by 32.8% YoY to 521,000 tonnes owing to export quota and export tariff.
Increased prices and higher import volume can be attributed to the following reasons.
1. A severe undersupply emerges in China's domestic market as its crude stainless steel output registered 5.3 million tonnes in 2006 up by 68%YoY. The figure is expected to grow to some 7 million tonnes this year. However, the country's proven reserve of chrome ore merely recorded over 10 million tonnes and few of them can be exploited due to inconvenient transportation and high exploitation costs. In such a case imported chrome ore become the main sources to feed domestic demand. 80% of the consumption is derived from overseas resources and China thus becomes one of the major importers of Cr ore.
2. Exporters are negatively affected by policies. India was the largest exporter to China, but it began to impose an export tariff of INR 2000 per tonnes (USD 44 per tons) on chrome ore from this March 1st 2007 following the release of export quota. Average import price for Indian chrome ore thus gained by 68.6%YoY to USD 293.6 per tonnes in January to June 2007. China then turned to South Africa and Turkey for resources yet Turkey followed India to raise export price. Besides, South Africa adjusted policy in a bid to export high value added ferrochrome instead of raw materials such as chrome ore to China.
3. Ferrochrome price advances prop up chrome ore price. Stainless steel producer have agreed with South Africa on price hike of USD 0.08 per pound in Europe and USD 0.07 per pound in Japan for the second quarter. Export price for South African ferrochrome has risen to some USD 0.9 per pound hitting a new high. This also drives up chrome ore price.
Against such a backdrop, a united import strategy should be framed to raise China's pricing power in chrome imports. The country should also broaden import channels and accelerate reserves. Besides, is should speed up the research and development of substitutes and set up recovery system to promote reutilization.
China had imported 4.321 million tons of chrome ore in 2006 up by 42.9%YoY.
hehe... up 0.5c (4%) with a volume of 2 today! 13c now, but what happened to this stock it was taking off for no reason (up to about 23c) just before the recent market correction and since the market has recovered, this stock has done no such recovery. Was there anticipation of some good news back then or ppl seeing good value? When are they hoping to get the Ruighoek Project up and running?
Going bush in South Africa
Friday, 5 October 2007
CHROME Corporation bought an old mine in the bushveld for $8 million and is bringing it back into production. By Tim Slater - RESOURCESTOCKS*
An example of a typical open cut chrome mine
Chrome Corporation managing director Brian Thomas
The Ruighoek Mine is located in the Western Bushveld of South Africa
About two hours drive northwest of Johannesburg at the Ruighoek Mine in South Africa's Western Bushveld, Chrome Corporation is preparing to process bulk samples in a trial mining program.
Later this year, it aims to begin commercial production of about 300,000 tonnes of chrome per annum, targeting the global non-metallurgical chrome market.
It expects to be granted a mining right for open cut operations in October or November.
Chrome Corporation managing director Brian Thomas said a chromite seam on the Ruighoek Farm had indicated resources of 5 million tonnes of chromite plus a further 23Mt of inferred resources.
The company has identified a significant resource in another chromite seam which it believes could extend the open cut mine life by another two or three years.
It acquired the Ruighoek mine in 2005, raising the funds by offering $6 million in listed convertible notes and $2.25 million in loan notes.
Chrome Corp has raised a further $5.5 million in equity since from retail investors to fund a feasibility study, site maintenance, permitting, debt servicing and partial debt repayment.
Thomas said getting the mine to an almost operational condition has taken much longer than expected, due mainly to the exhaustive regulatory requirements of the Department of Minerals and Energy.
These have included finding a reputable Black Economic Empowerment (BEE) partner, Aka Capital; transferring the mine's prospecting rights under the new South African Mining Act of April 2005; preparing environmental assessments; and working with contractors in the emerging small company mining consultancy industry to complete feasibility studies.
Thomas said BEE partners must hold 26% equity in mining projects and reputable partners are hard to find.
"One of the great challenges of working in South Africa is finding a good BEE partner. There are plenty of people who purport to be BEE partners but finding good ones is hard," he said.
"We thought we had one back in the middle of 2005 but their demands became absolutely untenable so we broke off negotiations and started the search for another."
That's where having good industry contacts in the country is handy. Chrome Corporation chairman Richard Linnell, who has extensive experience working in South Africa with Billiton and its subsidiary company Samancor, introduced the Chrome team to several other potential BEE partners.
"Eventually we found Aka Resources, owned by Aka Capital and chaired by Reuel Khoza, who has good connections in the South African business community," Thomas said. "He is also the chairman of Nedbank and a board member of the Johannesburg Stock Exchange."
Chrome is a bulk commodity industrial mineral used primarily in the manufacture of stainless steel, with 90% of the world's production of 20 million tonnes (2006) of chromite used in this process. The remaining 10% is consumed in the refractory, chemical and foundry industries.
South Africa's Bushveld Complex holds 80% of the world's reserves of chromite and is the site of more than 50% of the world's production.
The Ruighoek Mine hosts extensive infrastructure, including two decline mine shafts, a decommissioned concentrator, mine offices, stores, workshops and a 42-house township, which have all been maintained securely since the mine's closure in 1993.
The area is serviced by grid power, telecommunications, roads and a railway siding 45km to the south.
The deposit itself occurs in a series of flat-dipping, parallel layers that occur throughout the Bushveld igneous complex.
Most of the mining operations will be carried out by contractors with Chrome Corporation employing a mine manager, samplers and a surveyor.
Chrome had considered building its own treatment plant for chromite at an estimated cost of $5 million, but it is now considering an offer from a neighbouring producer to use its facility and will be processing at least two bulk samples at the plant as part of the trial pit process.
Thomas said after researching the international chrome market, which is dominated by three ferrochrome producers – Xstrata, Samancor Chrome and Kazkrom – the company decided to target the bulk of its product at the smaller non-metallurgical foundry, chemical and refractory market.
"Back in 2005 we had a good think about where we were positioned in the chrome business," he said. "We were originally going to just mine chrome, wash it, stick it on a ship and send it to China, it was going to be real simple.
"But we didn't understand the dynamics of the chrome market which is a managed commodity and is dominated by the three main players which control between two-thirds and three-quarters of the global chrome market."
Thomas said because of the dominance of the big three producers, small chrome producers were virtually price takers. "That is not a nice place to be because you have no bargaining power whatsoever," he said.
"After we had done the research, we realised the big guys are not interested in this end of the market because they are vertically integrated with their own mines, ferrochrome furnaces and sales divisions to the stainless steel industry.
"They are not really set up for what they think of as niche products, which suited us."
Foundry sands are used to make castings in foundries, the chemical grade is used for a variety of products including car accessories, and the refractory grade is used in foundry applications because of the metal's high melting point.
Targeting the global non-metallurgical market, estimated to be about 2Mtpa, also tied in with the mine's estimated annual gross output of 300,000tpa, net non-metallurgical product of about 200,000t.
"We were going to be 10% of the market which is a very big number when you think about an industry which is very well managed," Thomas said.
"We decided that 300,000t was a good target and that would probably get us in that 150,000-200,000t a year of non-metallurgical chrome and wouldn't disturb the market.
"But more importantly it doesn't destroy our own market because there is no point flooding the market."
The company's exclusive sales agent in South Africa, Metalloy Trading, has negotiated letters of intent with three off-take parties to purchase the chrome products and negotiations are continuing with two other groups.
A majority of the chemical and refractory grade product will be sold to consumers in Europe and the US, with the foundry sands being sold to both local South African consumers and global customers.
Chrome Corporation was listed in April 2005 after WA-based mineral explorer Preston Resources acquired a 100 per cent interest in the company, which was previously privately owned.
The original Chrome Corporation was formed to buy the old Ruighoek Mine from private South African company EBCK. The mine was previously owned by Batlhako Mining, a subsidiary of Samancor, which is jointly owned by BHP Billiton (60%) and Anglo American (40%).
Samancor's interest in Ruighoek ceased in early 2004. Plummeting chrome prices had forced the closure of the mine in 1993, when it was producing chrome ore at the rate of 75,000 tonnes per annum using traditional hand-held underground methods.
But times have changed and the chrome price, set through bi-lateral agreements between producers and consumers, has more than tripled in the past 15 years from a low of $US65/t in 1993 to over $US200/t this year.
The price rise is the result of the huge increase in stainless steel production and the recent trend of substituting chrome for nickel in stainless steel due to soaring nickel prices.
Chromite supply problems mount.
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11/16/2007 07:10:52 AM EST
CHEMICAL BUSINESS NEWSBASE - INDUSTRIAL MINERALS
The unexpected shutdown of Benguet Corp's Masinloc chromite mine in the Philippines has aggravated the already tight chromite supply situation in Asia'. Operations at the Masinloc mine, the Philippines' sole producer of refractory grade chromite with a capacity of 100,000 tonnes/y, have stopped abruptly with no official announcement from Benguet's management. The owner of Cofermin Rohstoffe GmbH, a European chromite trader which has a contract with Benguet, said that the mine was reportedly flooded and investment was required to pump the water out. The closure has generated much confusion as chromite demand has been particularly strong. The mine's output is exclusively dedicated to the refractory market. The mine, which is also called the Coto chromite deposit, is also a supplier to the Asian market, where chromite is enjoying robust demand. China, in particularly, is using increasing amounts of metallurgical grade chromite, which is produced as a by-product of refractory-grade chromite. China's booming stainless steel industry has helped drive prices for non-metallurgical grades of chrome. Some players are hopeful that the supply situation would improve with the discovery of new chromite sources. Lanxess said that its ore reserves increased 80 M tonnes following additional exploration in its Rustenburg chromite mine in South Africa's North West Province. The UK's Chromex Mining Plc is also set to start work on the Mecklenburg Project to mine chromite ore, while Oregon Resources Corp is working to develop a heavy minerals production in Oregon, USA, including production of surface-mined chromite ore.
I can't believe after all this time waiting for the Ruighoek Project to come online as a mine, CCI are going to sell it to AMCOL with shareholders receiving a discount to the current share price. I love the sound of the line in the announcement, "The Company intends to retain sufficient capital to conduct a detailed assessment of an increasing number of global resource opportunities...". I bet that just means the directors will receive more from this offer then the shareholders. Another case of directors looking after themselves over the shareholders.
I agree. Very disappointing. I offloaded my holdings at 18 cps when the announcement came out today. They will payout UP TO 15 cents per share to shareholders. Lots of gray area in that announcement (i.e. a lot of room for the company to do other than what they suggest in the announcement). Can't complain though, bought in at 12cps so that's a tidy 50%
I, and many other CCI holders, sold up on Wednesday the 5th of March on a very negative price-sensitive announcement by this company. The announcement was 'amended' two days later (too late for most). The links to these announcements are below. I have also added the text from the complaint I have lodged with ASX and ASIC. I would strongly encourage others who held CCI and sold on the 5/3/08 announcement to do the same.
Link to announcements
Details of complaint, as lodged to ASX and ASIC
On the 5th of March 2008, company CHROME CORPORATION (CCI) released a price-sensitive announcement stating that they were selling their mining project, and that the proceeds of the sale would 1. repay debt, 2. fund future interests, 3. payout shareholders at UP TO 15 cents per share.
At the time of the announcement CCI shares were trading at around 18 cents per share. Given the figure of “UP TO 15 cents per share”, I (and many other CCI shareholders) sold on the logic that 18 cents per share was more profitable than 15 cents per share. I watched as the share price plummeted, and as millions of shares were off-loaded by investors.
Two days later (7th March 2008), the company released another price sensitive announcement. The company wished to “clear up any confusion” from the previous announcement, and declared that the proceeds from the sale would equate to shareholders receiving 28.5 cents per share, and 24.4 cents per share following repayment of debt – a difference of almost 10 cents per share from their original announcement two days before.
The volume of shares traded for this company (and in relation to this company’s average daily volume) was phenomenal on release of the first announcement. Investors were selling their stocks quickly, and with good reason. However, Chrome Corporation’s massive error in (simple) calculation announced two days later would have most likely seen these investors hold their shares to make an additional >70% profit! I certainly would have.
I would like to know how such a gross miscalculation could be made by the company. I would like to know who was buying these millions upon millions of shares that were off-loaded on the 5th of March (and why they would buy them for a premium of between 16 and 18.5 cents per share when the company announced that they would only pay shareholders out at UP TO 15 cents per share). I would like to know why, 9 days prior to the initial announcement, Merrill Lynch & Co. became a substantial holder (form signed on the 7th of March when the amended announcement was released).