DEG - De Grey Mining

[brerwallabi]

Well I picked this in the tipping competetion this month, I have been able to pick up a few cents here and there trading in and out. De Grey was a darling stock twelve months and was trading around 60 cents last year. It is a very advanced explorer you could say in gold, platinium, copper and zinc. De Grey was even explorer of the year 2004.It has been ranging for a while now hence the small pickups I have had, it is worth keeping a very close eye on, a run of news might well get it going again. There was a fair bit of volume today and it picked up 3cps upto 24cps.I have attached a chart not detailed but it gives you some idea of the ranging. The volume that occurred yesterday 14/09/05 may be an indication of a move upwards. Anyway I got back in again.
Carpe Diem

 

[brerwallabi]

Re: DEG

Another nice increase today in DEG up another 1.5 cents to finish at 25.5cps further increase in volume today, anybody who managed to buy in on Monday at 19.5cps would be up 30% today - very nice. I think its worth more then what it is currently.
Check it out http://www.degreymining.com.au/
Hope this time it keeps going preparing stop in case.

 

[mikeA]

Re: DEG

I have been accumulating DEG for a few weeks brerwallabi,I'll be very happy if you win this months comp!
Rumour of the day (The West Australian 15/9/05)
"Investors piled into De Grey Mining yesterday sending shares in the gold and base metals explorer up 3c to 24c.Word in the market is that De Grey is poised to release some handsome results from its Orchard Well gold prospect.
De Grey started drilling the prospect in July. De Greys preliminary resource estimate was for 203,300 ounces of gold.''

 

[brerwallabi]

Re: DEG

De Grey really going along again this morning moved up another 1.5cps, if I as you say Mike something is cooking then we might head back to last years prices- the price of gold will also certainly help, not worried about winning the comp, it would be nice but my focus is watching this double, all trends look very bullish and MACD looks very encouraging.

 

[mikeA]

Re: DEG

I wouldn't call the results so far as "handsome"-good looking maybe,hopefully more news to come.

 

[Dutchy3]

Here's a weekly. What don't we know about this stock that only a few do?

This is going to be a performer. The four weeks with elipises are a tell tail sign that someone with insider (ooops ... surely I mean insight) is hitting this one.

 

[pacer]

A friend of mine is on a drilling rig up north....working for these guys..they all recon the dirt is ok....I'm not a holder, YET!....hehe.....

Ps guys I have got you all on the comp.....SLA....50%.......NWR was mine origionaly but found a better one...SLA is worth a look...My first bio company.

 

[exgeo]

The Turner River project is DEG's flagship, located about 60km from Port Hedland. The Great Northern Highway passes through the project area as does a BHP rail line and a gas pipeline. Handy stuff to have in the event of being able to prove up a mineable orebody.

Their objective (as per 22/11/06 AGM presentation) is 3MT of base metal resource - which would be enough for a small mine - or 0.5M Oz Gold. This doesn't mean they'll achieve it of course. Turner River is a VMS style of deposit (Volcanogenic Massive Sulphide) containing Zn, Ag, Pb, Au, Cu. Generally these deposits occur in clusters of 4 to 11 (Golden Grove is an example). LME Zinc stocks are only 100Kt at the time of writing. More normal levels are 750Kt. From 2007 a zinc supply deficit is forecast.

Initial drilling was by RAB, this has been followed up with RC and most recently, DD drilling. The most recent DD (diamond) drilling got 3.85m @ 19.4% Zn equivalent in hole WADH003. This hole is 140m west of a previous RC hole which also had grade. This is good stuff. For comparison CBH are mining a grade of 6.8% Zn, 4.1% Pb, 51g/t Ag. The strike extent of the mineralised horizon has been shown to be 20km from RAB drilling (quick & cheap but low quality drilling technique). Other hits are WARC049 2m @ 7.95% Zn, 246g/t Ag, 4.78% Pb, 1.2g/t Au, 0.57% Cu from 88m depth (open pittable depth). There are many other hits of this calibre. The grades would be economic even at much lower metals prices. All they have to do now is prove up some tonnes by getting enough drilling density to calculate a JORC resource. Also in the most recent DD programme hole WADH005 got 6m @ 45.8g/t Au and 66g/t Ag from 193m. Highest grade to date WADH012 (announced on 20/12/06) returned: 4.90m @ 12.7% zinc, 331g/t silver, 7.31% lead, 2.54g/t gold and 0.35% copper from 514.4m (4.9m @ 20.3% Zn equivalent). This hole was 210m down dip of a previous ore-grade intersection. Mineralisation remains open at depth, to the west and stretches 130m east to another high-grade hole drilled previously.

179m shares on issue (market cap 26m @ 14.5c). Presentations etc can be seen at the company's website http://www.degreymining.com.au/

 

[Dr Doom]

Hi Exgeo ,

DEG has gone into a trading halt for ann by Monday.

I've been accumulating this one for a while on the dips, as the figures that keep coming out are very good, as you have compared. Personally I can't see how the fundamentals when the price was at 60c have changed negatively to currently have a price of 14.5c. That is, since the price was 60c it's been all very good news, yet the sp has drifted lower each time after the good ann's.

Another case of when the penny finally drops and the company is re-rated there should be spectacular gains eg HLX.

 

[exgeo]

Well, I guess there are probably more shares on issue now than there were then, that'd be one reason. They have $5m in cash from the Dec 06 qtly and plan to spend $1.5m in the next qtr, so the trading halt probably isn't a capital-raising.

 

[exgeo]

OK, looks like I was wrong. It IS a capital raising, although if they manage to get a JORC resource proved up then that should give a boost to the shares (one of their stated uses for the money raised).

 

[porkpie324]

Be careful with DEG, the last lot of options ended worthless after the share price dropped. porkpie

 

[exgeo]

Well there's one easy way to avoid that particular pitfall isn't there? Buy the ordinary shares instead.

 

[moses]

The Neilson SMA shows a steady positive buying pressure from "smart money", buyers who trade bigger parcels than average. This is a bullish signal. It means that the more serious orders are from buyers waiting to pick up any dips than sellers hoping to cash in on peaks.

For more info see Neilson Smart Money Analyser thread.

 

[moses]

And here is the smart money...

 

[Dr Doom]

This one requires a bit of patience. Maybe they should announce that they are to also test for U308?.

 

[exgeo]

where's the smart money when you need it?! Filling their boots with uraniums maybe?

 

[GRTRADER]

Good announcement today - exploration results for 3 activities in the next 2 weeks + the beyondie results in 3 weeks time.

Shall be interesting to see what they have found

 

[Dr Doom]

If the ann's are good, & I cant see why not based on past exploration results, then we may get a bounce off the weekly double bottom?.

 

[GRTRADER]

Anyone read the announcement yesterday?
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00708285

it all looks quite positive but the sp hasnt really moved much

There are more announcements to come so hopefully that will help