KAL - Kalgoorlie-Boulder Resources

[jtb]

It is appallingly cheap for a resource of 1.4Moz of gold and a market cap 27million.........................

Selene is a huge deposit, not many explorers have that much gold in one pit. Plus there is more to come probably from reading the reports.

Hey Spag',

Must remember that grade is king and @ 1.7gpt thats a colossal amount of dirt that has to be moved per Oz.
Also theres a lot of unlisted stock that also blows out the fully diluted MC quite dramatically.

Regardless, has anyone seen page 60 of todays West Australian (Business section) or have a copy of the reco' from Intersuisse as mentioned

 

[RedHerring]

http://www.kalgoorlieboulderres.com.au/cms/kbrl/documents/KBRL_Intersuisse_12_07.pdf

Both of KAL’s Selene and Mt Henry mineral resources display continuous and thick mineralised zones which will be readily amenable to open pit mining. In particular the Selene deposit has a gentle dip which will enhance the economics of a mining operation. In addition the company has an impressive nickel sulphide project that with limited further work should provide exciting drill targets. These are excellent projects that don’t come along everyday!

May be a lot of dirt to process, but suggests it may be a low-cost operation to do so

 

[Whiskers]

I had never really considered fibonacci or wave analysis on junior stocks very reliable due to lack of volume, and fluency of trades but maybe KAL does qualify now.

It seems like the 38.2% line was pretty much the bottom of my earlier flag and on the last day of being wedged in it tried to break up as I expected, but the negative market sentiment killed that move. (bludy yanks)

It actually closed today at 16c right on the 50% line. (this chart is delayed data)

Not sure where the next move will be. I guess we will be at the mercy of the overall market in the short term. Idealy it would have been better to hold support above 38.2, that would confirm the most bullish position, however all things considered if the 50 holds it won't be too bad... below that could be trouble.

The FTSEE, DOW, NASDAQ and S&P futures are in the green at the moment so maybe tomorrow will be a turnaronnd.

 

[jtb]

, has anyone seen page 60 of todays West Australian (Business section) or have a copy of the reco' from Intersuisse as mentioned

Anybody..........
I've never seen a 16c stock with a brokers target price of $37.50 before
Assuming a typo but wondering what the value may be?

 

[AussiePaul72]

Anybody..........
I've never seen a 16c stock with a brokers target price of $37.50 before
Assuming a typo but wondering what the value may be?

Yeah i think a typo for sure ........ I guess it would have to be $3.75 would it???? I'm not even sure that would be correct. 37.5c seems like a strange target price though, although i would be very content with that in the short term!!!

Anyway, does anyone have a reasonable estimate on what KAL is worth right now in terms of SP?

KAL has had some significant resource upgrades recently, with possibly still some to come. Most recently, the Selene deposit was upgraded by 53% just this last week, however, with the broader market jitters and uncertainty there was no appreciation in the SP.

KAL currently has a total indicated and inferred resource at Norseman of 1.4 Million ounces, yet the current market cap is less than $20 million. To me, KAL would appear to be very undervalued? Am i missing something or is it highly likely that KAL could see another re-rating in the near future once the market sentiment settles and confidence returns?

I'm a holder but would like to hear from others as to there thoughts on the future of KAL?

 

[Uncle Festivus]

Anyway, does anyone have a reasonable estimate on what KAL is worth right now in terms of SP?

To me, KAL would appear to be very undervalued? Am i missing something or is it highly likely that KAL could see another re-rating in the near future once the market sentiment settles and confidence returns?

The EV works out to be about $30m, with current share issue, not counting options, so that works out to be around 19c. Anything lower is a discount, and doesn't factor in exploration potential? Current price is 16.5c, pretty easy mathematics?

 

[AussiePaul72]

The EV works out to be about $30m, with current share issue, not counting options, so that works out to be around 19c. Anything lower is a discount, and doesn't factor in exploration potential? Current price is 16.5c, pretty easy mathematics?

Thanks for your comments Uncle Festivus ........ much appreciated! I can see plenty of upside from this

 

[Whiskers]

Geees, hasn't this one hotted up this morning. Plenty of action... over 3m and back up to 19c already.

 

[dastrix]

alot of action indeed, over 4million now. Still losing on these guys having brought in at 25cents... Hoping for a bigger and brighter future for KAL this year!

 

[J.C.]

Sure has! I bought in at 16c so very tempted to offload them at 19c... make a tidy little profit but i think I'll hold out for more...

 

[Whiskers]

Bit risky posting an intra-day chart, but looking pretty bullish. Got a buy signal on the Parabolic SAR and DMI's. MACD looks like it has pretty well bottomed and the oscillator indicating strength, although a big sell knocked the price back a bit just now as I post. And as noted earlier plenty of volume.

 

[Spaghetti]

Hey Spag',

Must remember that grade is king and @ 1.7gpt thats a colossal amount of dirt that has to be moved per Oz.
Also theres a lot of unlisted stock that also blows out the fully diluted MC quite dramatically.

Regardless, has anyone seen page 60 of todays West Australian (Business section) or have a copy of the reco' from Intersuisse as mentioned

Sorry been on holidays. I do not agree that grade is king, in fact... no facts support this. However buyers believe grade is king so until there is more info on how cheap it is to mine it may suffer...from ignorance to be honest. Higher grade open pit mining is usually very small deposits. Majority larger deposits are even lower grade than KAL. Miners actually prefer lower grade near surface deposits. However traders love grades if for no logical reason.

Also yes unlisted shares are in issue, well aware of that fact and they were included in the market cap (at that time) that I mentioned had you checked the facts.

KAL will have new jorc for Mt Henry soon, hope the higher POG and another ann get this stock up to where it should be.

 

[trtkjd1]

As has been writen by many before just another undervalued gold stock.
Price of gold up by aroundThe $200 aus the last few months but still many juniors trading at bellow levels of a few months ago. eg TAM , CTO, MYG, RMS NAV, VRE just to name a few. The market can be hard to fathom sometimes.

 

[Whiskers]

I might be a little cheeky with this little head and shoulders, but I think we are looking at 25/26c again in a day or two.

I think todays low finish was more the result of a couple of big profit takers bumping into the bollinger band and cashing in before the end of week, than anything else.

The MACD has started to rise again as too the DMI+. A bit of good news some time soon and the momentum should give the price a nice little kick along.

 

[Wysiwyg]

I think todays low finish was more the result of a couple of big profit takers bumping into the bollinger band and cashing in before the end of week, than anything else.I might be a little cheeky with this little head and shoulders, but I think we are looking at 25/26c again in a day or two.

Sorry whiskers but i definately don`t see it that way.For one the xao downtrend has traders jumping off the ride every step lower.Obvious day trading on KAL at the mo. (good on them)

In a market uptrend, with gold pushing new highs, KAL would be much higher now.Long for me so nothing missed here.


p.s. I liked that hammer chart, maybe a loonnggg term uptrend staring us in the face.

 

[Whiskers]

Sorry whiskers but i definately don`t see it that way.For one the xao downtrend has traders jumping off the ride every step lower.Obvious day trading on KAL at the mo. (good on them)

In a market uptrend, with gold pushing new highs, KAL would be much higher now.Long for me so nothing missed here.


p.s. I liked that hammer chart, maybe a loonnggg term uptrend staring us in the face.

But for two sizable parcels (a little bit bigger than my lot of 320,000 at 14:40:39 and 300,000 14:48:40 the average price for the day would have been 19c. I will trade too when I think they are over bought. I reckon these couple were just day trading and wanted to preserve their cash over the weekend.

Well I could be wrong, but I don't think so (baring another catostrophe in the US). I don't think we will have to wait too looonngg for this to move, but I do think it will be a slower uptrend than the last one.

The main reason I think that is the XMJ is holding up much better than the XAO. The XMJ is coming up (or rather down) to some decent support and not lost much momentum yet, whereas the XAO has not held up as well these last few months and it's momentum (not shown here) is clearly falling.

If the POG holds for a couple more days I think the price of the small caps will start adjusting in earnest.

PS: Don't forget the Parabolic SAR buy signal is still good, so buyers are accumulating.

 

[Spaghetti]

I have done 4,000 hours of research and KAL looks great. I only hope others do the same mount of research and arrive at the same conclusions!

ATM buyers are still concerned about gold companies being able to reach production stage. We need the mindset of revaluation of IGV to see massive increases in gold juniors. They do have the highest gains once that re-rating starts in a gold bull market, the question is how high will the POG have to go before that starts? Or it maybe when big buyers start the rest will follow.

It is simple, you can buy gold for $20 an ounce if you buy KAL shares. Obviously it will cost a lot to get out of the ground but even $40/oz igv will be cheap soon. What is another $20- $50 per ounce when gold has gone up by hundreds.? So it should be easy to get at least 100% when the gold pot boils over, maybe even 200-300% (as with many gold stocks), we just need people to get on board and stop being nervous nellies. There is no reason to suggest POG is going down.

I was reading an article last year that put igv at between $30-$200 per ounce depending on stage of project etc etc so KAL have not even reached last years igv!

If you don't make massive gains from KAL then you will not from any gold spec and I do see that being highly unlikely this year.

 

[Wysiwyg]

But for two sizable parcels (a little bit bigger than my lot of 320,000 at 14:40:39 and 300,000 14:48:40 the average price for the day would have been 19c. I will trade too when I think they are over bought. I reckon these couple were just day trading and wanted to preserve their cash over the weekend.

On closer inspection of the course of trades i noticed that a total 565000 shares were traded on open to `gap up` the s.p.Just been reading a bit about gap ups and agree with your reckoning, especially at the time the trades were made and at a lower price too.Also not a lot of traders willing to enter after a gap up in present market conditions.
So just noting the gap up that was snuffed out, for the moment.

Last report has this upcoming info. to look forward to ...

The Company is currently updating its Mt Henry resource to incorporate recent drilling, and is well advanced towards the completion of a Scoping Study for the Project in the first quarter of 2008. This resource upgrade will allow for the Scoping Study to be further developed, along with the process test-work scheduled for the early part of the New Year.

so Mt. Henry is still the focus though it could be a case of no one giving a sh!te.


p.s. 4000 hours or 4 hours spag.

 

[Spaghetti]

Wysiwyg

You ask 4 hours ! lol.

Maybe closer to 4,000. I have a personal problem lol.

Still all the research in the world doesn't teach one about market sentiment and I think on the gold front we all were a little too quick to recognise it's rise. Timing is bad when you are late but also when you are a tad early

 

[Whiskers]

so Mt. Henry is still the focus though it could be a case of no one giving a sh!te.

Some solid buying started now. So far so good.

There were also some more geochemical sampling for Clinker Hill expected to be completed last qtr that haven't been released yet.