EKA are expecting to mine 3.8 million lbs of Molybdenum this year. For the more sceptical amongst you, read this to confirm:

http://moneyam.uk-wire.com/cgi-bin/articles/200412150700023844G.html

They own the mine and the molydbenum in it has been independently varified as stated in the announcement linked above.

Molydbenum currently trades at around $38.50 per lb, you can check this at:

http://www.monterrico.co.uk/s/MetalPrices.asp

so do the sums 3.8m x $39.25 = $149m = 82m

Eureka Mining's market cap is 26m

In 2006 they expect to pull over 10,000 tonnes (20m lbs) of Moly out of that mine.

On top of all that they have recently aquired a mine in Russia with estimated contained metal of 3.32 million tonnes of copper, 3.26 million
ounces of gold and 98.9 million pounds of molybdenum. They hope to complete the feasibility study for this one in 2006:

http://moneyam.uk-wire.com/cgi-bin/articles/200501130700033169H.html

What is molybdenum and what do you do with it. Is Kasakstan politically stable as anything ending in stan makes me very nervous.

MS

Molybdenum is a heavy metal, man - all sorts of industrial uses.

Kazahkstan is the world's tenth (!) largest country. Its political stability can be measured to some extent by the good credit rating it recives from the banking community worldwide.

I am heavily into European Minerals in that country.

DYOR

SD

The fact Molybdenum, Eureka Mining and Kazakstan are so completely unheard of is partly what makes this share so favourably valued at the moment.

It's on my radar screen.

MS

It's on my radar screen.

MS

It is used in stainless steel production and we all know what has happenend to the price of steel, it is very difficult to substitute as it has unique properties as its compounds have very low toxicity for a heavy metal.

Even if you not believe us believe IC they recommended a buy at 156p and it is now at 121p. final drilling results due this month.

its on my radar and i might shoot it down. sorry, silly afternoon...

Nickel can be used in the place of Moly for steel production, but if you look at the price graph for it, you'll see that it is not currently a viable substitute.

Ok Ok Im impressed, will do some homework with a view to joining you, by the way molybdenum as a trace additive is also used as a high pressure lubricant.

regards

Loadsa

Yes apparently it's used a lot in oil piplines also.

What about KY Jelly.

MS

don't mean to give you any negative feedback, but i did read within the past month, in an aussie newspaper (or perhaps it was the Shares mag - aussie version); which had an article about commodities........it reasoned that with the copper prices also being at record highs - and therefore the amount of copper mines coming into production obviously in search of the resultant riches - that the molybdenum price should stabilise quit quickly, and perhaps drop sooner rather than later (by end of 2005 ??) - because apparently molybdenum is a by-product of copper (?) and it will therefore be produced and sold by most copper mines......and although it may only account for up to 5% of the total mine's production, there will be a fair bit of molybdenum coming onto the market.......now that's way too much KY jelly !!

MS - I know about Kay, but I have always wondered why jelly. Nothing to do with that Irish lass of high moral standard, stainless Molly, is it?

:D
SD

You are right belisce6, history has shown that molybdenum prices do tend to shoot up for a period and then come down. You'll be glad to hear that I have thouroughly researched this one also.

The closest historical example for the commodities boom going on currently, is the one that happened at the end of the 1970's. During this boom most major commodities peaked in 1980 and then gradually returned to a normal level. From what I can see, oil was the leader of the pack. Have a look at the link below:

http://minerals.usgs.gov/minerals/pubs/metal_prices/metal_prices1998.pdf
(the table of data lower down on the page gives more useful information)

Copper prices peaked in 1980, having had two very good years in 1978 and 1979 (during which time many more copper mines will have been brought on stream). You will see from the link that molybdenum prices also peaked in 1980 and gradually dropped off over the next three years.

So the first question is:

Do you think the current commodities boom is over?

Personally I would say no. Goldman Sachs seem to agree with me, as do many others. I have no doubt that we have a bubble in the making here, but in terms of the current commodities party we are only at about 10pm. The fact is that although we are bound to get a hang over at some point, but it is still a long way off.

The second question is:

If the commodities boom were to be over tomorrow, how long would it take the Moly price to drop back to historical norms?

Based historical experience I would have to say 3 years.

Given that EKA think this mine would still be very profitable with moly at $10 per pound, that means they still have a lot of time to make a grand exit.

Tallsiii

tallsii,

When is the mining going to commence?

Second half of this year. As I say they are planning to extract 3.8 million pound of moly by the end of the year.

tallsii,

Ok thanks.

is the full 63 million attributable to Eureka? or are there any JV partners?

Do you have any idea of the mining / extraction costs per lb?

There are no JV partners.

EKA will not have an accurate cost per lb until the feasability study is completed. But have a look at the write up of the Shorskoye Molybdenum Project
under the Projects section of their website at the link below:

http://www.eurekamining.co.uk

That was written in November 2003, when the moly price was $5.70 per lb. Presumably they were planing the mine some time before that when the moly price was even lower.

There will be some additional costs incurred due to the fact that they are fasttracking the mine to start production a year early, but I think we can assume that the extraction cost per lb will be significantly below $6 per lb.

ON the move Up 1.5p

Yes people seem to buying now.

Lots Of 10K+ buys now looks like the watchers are starting to buy now. Perhaps news is on its way!

What can I say? Loads of buying going on, but the price is down on sector sentiment.

I cant see any large trades that justified the drop but loads of decent sized buys?

What we expewcting this week tallsii?

That news on molly mine must be due within the next 2 weeks, then we are expectin a fair bit of promotion by the company right?

Fingers crossed that should be it. Though with the current fallout that is going on between the mining sector and the markets I would expect the promotion to have less of an impact. We may have to wait for the cold hard cash before this investment is anywhere near fully valued.

Here's a little info on Molybdenite that I dug up off the web.



Before Scheele recognized molybdenite as a distinct ore of a new
element in 1778, it was confused with graphite and lead ore. The metal was prepared
in impure form in 1782 by Hjelm. Molybdenum does not occur natively, but is obtained
principally from molybdenite. Wulfenite, and Powellite are also minor commercial ores.
Molybdenum is also recovered as a by-product of copper and tungsten mining operations.
The metal is prepared from the powder made by the hydrogen reduction of purified molybdic
trioxide or ammonium molybdate.

Properties

The metal is silvery white, very hard, but is softer and more ductile than tungsten. It
has a high elastic modulus, and only tungsten and tantalum of the more readily available
metals, have higher melting points. It is a valuable alloying agent, as it contributes to
the hardenability and toughness of quenched and tempered steels. It also improves the
strength of steel at high temperatures.

Uses

It is used in certain nickel based alloys, such as the Hastelloys which
are heat-resistant and corrosion-resistant to chemical solutions. Molybdenum oxidizes at
elevated temperatures. The metal has found recent application as electrodes for
electrically heated glass furnaces and forehearths. The metal is also used in nuclear
energy applications and for missile and aircraft parts. Molybdenum is valuable as a
catalyst in the refining of petroleum. It has found applications as a filament material in
electronic and electrical applications. Molybdenum is an essential trace element in plant
nutrition; some lands are barren for lack of this element in the soil. Molybdenum sulfide
is useful as a lubricant, especially at high temperatures where oils would decompose.
Almost all ultra-high strength steels with minimum yield points up to 300,000
psi contain molybdenum in
amounts from 0.25 to 8%. Biologically, molybdenum as a trace element is
necessary for nitrogen fixation and other metabolic processes.

wilbs

Eureka Mining PLC
20 April 2005




Eureka Mining Plc

Preliminary results

Financial Highlights

Net assets of approximately US$30 million
Mining assets of US$21.7m in Kazakhstan and FSU with net cash balance of
US$8m awaiting investment
Net loss in first year of operation US$82,000
US$12.5m of funds raised through AIM admission and seed placing

Kazakhstan

Almost 10,000m of diamond drill core completed at the Shorskoye
Molybdenum Project
Using our own mining contractors and third party treatment facilities,
first concentrates anticipated from Shorskoye by the end of 2005
Extensive data reviews completed on the Dostyk and Kentau Projects during
the year and targets for development/action in 2005 identified

Russia

Acquisition of 51% of the very large copper/gold project at Chelyabinsk,
with the exclusive rights to purchase 100% of the Project
Internationally recognised independent consultants report that the most
advanced of the three deposits at Chelyabinsk, Miheevskoye, compares more
than favourably with its peers on a technical and commercial basis

Mine planning and permitting work is currently underway with various
recognised consultants with local Russian experience taking roles in the
initial phases

Please find Chairman's letter, Chief Executive Officer's report and financial
results accompanying this highlights page. The Company's annual report and
accounts will be distributed to shareholders this week and available shortly
thereafter on our website.


For more information please contact:

Kevin Foo / David Bartley Leesa Peters / Laurence Read
Eureka Mining Plc Conduit PR
Tel: +44 (0)20 7921 8810 Tel: +44 (0)20 7618 8760

info@eurekamining.co.uk
Tel: +44 (0)20 7618 8708

leesa@conduitpr.com
/
laurence@conduitpr.com
Joe Nally / Nick Morgan
Williams de Broe
Tel: +44 (0)20 7588 7511

www.eurekamining.co.uk



CHAIRMAN'S LETTER
FOR THE YEAR ENDED 31 DECEMBER 2004

Dear Fellow Shareholder

I am very pleased to present your Company's inaugural Annual Report.

In our first year of operations we have made appreciable progress and have not
wavered from the key objectives we set out in the prospectus, which were to:

Develop a significant mining company focused on assets based in
Kazakhstan and the surrounding regions of the Former Soviet Union (FSU).

Acquire additional resource assets which represent realistic commercial
ventures for Eureka.

Allocate resources prudently and efficiently to achieve maximum value
for the Group and its shareholders.

Our special expertise is operating in the FSU and with the abundant resources
base in this huge area, which covers 14% of the earth's land mass and with metal
markets enjoying significant growth, we feel we are in the right place, at the
right time, with the right team.

Since admission to the AIM market, the Company, under the leadership of David
Bartley, has not only achieved significant milestones on the original projects
but has also examined many projects in Kazakhstan, Russia and the surrounding
regions for acquisition opportunities. The focus has very much been on projects
with defined reserves which will offer us early production and near term cash
flow.

When acquisitions have been undertaken, they have been achieved with minimal
upfront financial consideration and within a timeframe in which they can be
adequately reviewed. On this basis, we are able to assess projects efficiently
and cost effectively and, when appropriate, continue with the acquisition or
terminate involvement.

This year, 2005, will be an exciting year. We plan to commence mining and
concentrate production from the Shorskoye Molybdenum Project, following our
decision to 'fast track' this project to take advantage of the high molybdenum
prices. We also plan to complete the acquisition of the exciting Chelyabinsk
Copper/Gold Project in Russia and continue assessment of this very large
deposit. In Kazakhstan, we will be drilling the most prospective targets
identified at our extensive exploration properties.

Annual General Meeting

The second Annual General Meeting of the Company will take place in London on 15
June 2005. The notice of meeting will be set out at the end of the annual report
and accounts, which will be sent to shareholders shortly with a form of proxy.
The Directors look forward to the opportunity to meet as many as possible of our
shareholders following the announcement of the first full results from the
Company.

Future Plans

Eureka remains fully committed to the objectives that we have set. We are
targeting further acquisitions that will provide cash to help preserve our
current capital position and allow us to maintain an aggressive approach to
developing the Company's existing base metal and gold projects. When we find
opportunities that need additional shareholders' funds we will make the case for
such support.

I should like to thank my fellow directors for their support of the Company
during this period. We are indebted to all of our staff for their commitment and
enthusiasm in meeting our objectives and I congratulate the management of Eureka
on an outstanding start to building the Company.

It has been a successful twelve months and the outlook is very exciting. We look
forward to your continued support.

Yours sincerely,

Kevin Foo
Chairman


CEO REPORT
FOR THE YEAR ENDED 31 DECEMBER 2004

I am delighted to report on an outstanding first year of operations for Eureka
Mining Plc, the highlights of which include:

Successful drilling, resource confirmation, testwork and prefeasibility
studies to enable a production decision to be taken on the Shorskoye
Molybdenum Project
Acquisition of the very large copper/gold project in Chelyabinsk, Russia
Exploration and drilling activities over three prospective targets -
Mykubinsk, Central Kazakhstan and Kentau
Establishment of first class technical and commercial teams in Kazakhstan
and Russia
Establishment of offices in Almaty, Semipalatinsk and Chelyabinsk

Shorskoye Molybdenum Project

The Shorskoye Molybdenum Deposit was discovered in 1993 and is located about 90
km south-west of Semipalatinsk in north-eastern Kazakhstan. The region has
existing road, rail and power infrastructure providing direct rail access into
the Chinese and Russian markets.

The zone of mineralisation delineated to date is approximately 600m long x 250m
wide x 200m deep. The zone is open at depth and is comprised of several lenses
of disseminated mineralisation of between 20m and 40 m thick. The mineralisation
is amenable to low waste to ore strip ratios and bulk open pit mining methods.

Metallurgical testwork on ore from the Shorskoye deposit has commenced at the
Kazmekhanobr Institute in Almaty, Kazakhstan. This testwork has defined a
conventional flowsheet for the concentration of molybdenum in the ore. The flow
sheet involves a coarse grind, bulk flotation of the molybdenum, differential
flotation for copper and molybdenum minerals and cleaner flotation to produce a
final concentrate. Shorskoye is expected to be able to produce a minimum
concentrate specification with MoS2 grade of 87-90% (i.e. 48-53% Mo).

The molybdenum concentrate can either be sold directly as a concentrate or
roasted to produce a higher value oxide product, TGMO (Technical Grade Molybdic
Oxide) which would also provide rhenium credits.

At the beginning of 2004, within one month of admission to AIM, we had
established offices in Kazakhstan and had commenced drilling at Shorskoye. By
the end of the first month of operations, we had three diamond drill rigs
operating around the clock at temperatures as low as -20degreesC. By the year
end, almost 10,000m of diamond drill core had been completed at Shorskoye.


Within the last 12 months, we have drilled and delineated a mineable, high grade
JORC compliant resource (Table 1). Bulk samples have been produced for
confirmation testwork, with preparation of concentrate samples for obtaining
expressions of interest from concentrate buyers.

We have initiated an overall project feasibility study to 'fast track' the
development of Shorskoye and we have concluded that this development, on a
limited scale in the short term, was appropriate to take advantage of the
current high molybdenum prices.

Consequently, using our own mining contractors and third party treatment
facilities, we intend to produce the first concentrates from Shorskoye by the
end of 2005.

In parallel with this, we shall complete a major feasibility study on the
overall deposit which includes detailed resource drilling, mining assessments,
metallurgical studies, environmental and permitting work and marketing studies.

Table 1 - Shorskoye East JORC Compliant Resource Estimate

TONNES GRADE CONTAINED METAL JORC
Ore Molybdenum Copper Cut Off Molybdenum Copper Category
Million % % Mo % Million Million
Tonnes Pounds Pounds
25.48 0.087 0.054 Uncut 49.1 30.5 Inferred
13.97 0.113 0.062 0.07 34.8 19.1 Inferred
5.36 0.163 0.070 0.10 19.3 8.3 Inferred
3.11 0.202 0.067 0.12 13.8 4.6 Inferred

Kazakhstan Exploration Projects

At the Dostyk Copper-Gold Projects in Central Kazakhstan, we have reviewed all
historical data and identified at least six drill targets, with particular focus
on base metal projects. During 2004, we drilled five projects and completed
significant field activity on two projects, including the high priority targets
Berezky Central, Maiozek, Akkuduk (porphyry style), Ushtagan (epithermal gold),
Maikain, Baygustam and Burovoy (VMS). We intend to focus on the most promising
of these deposits in 2005/2006.

The Kentau Project in southern Kazakhstan has undergone an extensive data
review, with a comprehensive Geographic Information Systems database being
created. This has enabled us to plan a focused exploration programme on
previously identified targets. Drilling is expected to commence in May 2005 at
two of the best targets, using a large Reverse Circulation (RC) rig.

We entered into an option agreement to acquire the Nova Dnieprovka (Nova) Gold
Mine in northern Kazakhstan. However, after a thorough assessment and
reinterpretation of the project, including the completion of a drilling
programme, we decided not to exercise the option and purchase agreement over the
Nova project.

Our exploration and assessment teams are continuously reviewing potential
projects for Eureka across the FSU and only the very best are selected for
further work.

Chelyabinsk Copper-Gold Projects in Russia

In January 2005, Eureka completed the acquisition of 51% of the Chelyabinsk
Copper/Gold Project in the southern Urals region of Central Russia. This is held
through a UK company which holds 100% of three Russian subsidiary companies,
each of which owns one of the three deposits.

Eureka has completed negotiations with the vendors and now owns the rights to
purchase 100% of the Chelyabinsk copper-gold porphyry deposits. The project
comprises three separate deposits, Miheevskoye, Tominskoye and Taruntinskoye and
drilling to date has delineated total C1 and C2 resources of 609 million tonnes
at 0.74% Cu equivalent. Contained metal is currently estimated to be 3.37
million tonnes of copper, 3.61 million ounces of gold and 99 million pounds of
molybdenum. Preliminary mining studies on two of the deposits have identified
high grade ore in excess of 1% copper equivalent in the initial years, with low
mining strip ratios.

The two largest deposits, Miheevskoye and Tominskoye are copper/porphyry
deposits and are located 200km and 40km respectively from Chelyabinsk.
Taruntinskoye is a skarn deposit located on the Russian-Kazakhstan border,
approximately 100km south of the city. All three deposits are connected by the
same rail network.

A feasibility study is underway, addressing the development of up to a 20
million tonne per annum mine and concentrator and, secondly, up to a 3 million
tonne per annum mine and SX/EW project.

Eureka has completed independent due diligence on the project, through
internationally recognised independent consultants. The results from this work
showed that the most advanced of the deposits, Miheevskoye, compares more than
favourably with its peers on a technical and commercial basis. The other
deposits also have significant merit and are expected to add substantial value
and hence warrant further evaluation.

Many of the key elements required for commercial success of a mine are present
in the Chelyabinsk projects. These include:

Good Infrastructure
Low cost grid power near all project sites
Rail access near all project sites
Gas pipeline access
Flat terrain
Land tenure/ownership (new Russian laws will allow ownership)
Low cost mining - low strip ratios
Competitive metal grades and high grade starter pits
Good concentrate grades and recoveries with no penalty elements; and
Close proximity to local smelters

Eureka is now completing mine planning and permitting with the collection of
technical, social and environmental data for mine development. This work is
currently underway with various recognised consultants with local Russian
experience taking roles in the initial phases.

Current Resources

The resources of the three deposits are as follows:

Table 2 - Project Resources Summary (Russian C1, C2)

Project Name Cu cut-off Resource Estimate Cu equivalent Metal
% Cu (Mt, Cu%, Au g/t) grade % Cu* Mt Cu Moz Au

Miheevskoye 0.3% 327Mt @ 0.45% & 0.22g/t 0.66 1.47 2.31

Tominskoye 0.3% 241Mt @ 0.58% & 0.12g/t 0.73 1.40 0.93

Taruntinskoye 0.5% 41Mt @ 1.22% & 0.28g/t 1.48 0.50 0.37

Total 609Mt @ 0.55% & 0.18g/t 0.74 3.37 3.61

* Inclusive of Mo and Au credits

Our targets for 2005 are to:

Bring Shorskoye Molybdenum Project into production and generate positive
cash flow for the Company
Complete a pre-feasibility study on the Chelyabinsk project and define a
JORC compliant reserve
Continue exploration at all of our Kazakhstan properties with the aim of
identifying a possible new mine
Actively continue to review, assess and acquire properties that meet our
investment criteria; and
Raise appropriate funding for the projects as and when required

Our first full year of operations has been exciting and at times challenging and
as CEO, we could not have achieved the progress we have without the full support
of the Board and the excellent teams in Kazakhstan and Russia. We firmly believe
that we have laid the foundation for the next twelve months and beyond, which
will prove to be memorable for Eureka and its shareholders.

David Bartley
Chief Executive Officer

EUREKA MINING PLC

CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2004

From incorporation
3 October 2003 to 31 December 2004
$ 000's


Operating costs (344)
-----------
Gross loss (344)

Administrative expenses (1,015)
Exchange gains 901
-----------

Operating loss (458)

Other operating income:
Interest receivable and similar income 437

Interest payable and similar charges (1)
-----------

Loss on ordinary activities before
taxation (22)

Tax on loss on ordinary activities (60)
-----------
Loss for the financial period (82)
===========

Full and diluted earnings per share (in
cents) (0.05)
===========

The profit and loss account has been prepared on the basis that all operations
are continuing operations.


EUREKA MINING PLC

CONSOLIDATED STATEMENT OF RECOGNISED GAINS AND LOSSES

FOR THE PERIOD ENDED 31 DECEMBER 2004


2004
$ 000's

Currency translation gain 441
----------

Loss for the period (82)
----------
----------
Total recognized gains and losses in the period 359
==========





EUREKA MINING PLC

BALANCE SHEETS

AS AT 31 DECEMBER 2004

Group Company
2004 2004
$000's $000's
Fixed assets
Intangible assets 21,691 -
Tangible assets 204 17
Investments - 15,823
----------- -----------
21,895 15,840
----------- -----------

Current assets
Stocks 14 -
Debtors 304 5,932
Cash at bank and in hand 8,102 7,936
----------- -----------
8,420 13,868

Creditors: amounts falling due within one year (329) (163)
----------- -----------
Net current assets 8,091 13,705
----------- -----------


----------- -----------
Net Assets 29,986 29,545
=========== ===========

Capital and reserves

Called up share capital 301 301
Share premium account 29,326 29,326
Translation reserve 441 -
Profit and loss deficit (82) (82)
----------- -----------
Shareholders funds - Equity 29,986 29,545
=========== ===========


The financial statements were approved by the Board on 19th April 2005.




EUREKA MINING PLC

CONSOLIDATED CASH FLOW STATEMENT

FOR THE PERIOD ENDED 31 DECEMBER 2004



2004
Notes $000's


Net cash outflow from operating activities A (203)
-----------

Returns on investments and servicing of finance

Interest received 437
Interest paid (1)
-----------
Net cash inflow from returns on investments and servicing of
finance 436
-----------

Tax paid -

Capital expenditure and financial investment

Payments to acquire tangible assets (211)
Payments to acquire intangible assets ( 5,741)
Payments to acquire subsidiaries (523)
-----------

Net cash outflow from capital expenditure ( 6,475)
-----------

Net cash outflow before management of liquid resources and
financing ( 6,242)

Financing
Issue of shares 14,326
-----------

Net cash inflow from financing 14,326
-----------

Increase in cash in the period B 8,084
===========



EUREKA MINING PLC

NOTES TO THE CONOLIDATED CASH FLOW STATEMENT

FOR THE PERIOD ENDED 31 DECEMBER 2004

A. Reconciliation of operating loss to net cash outflow from operating
activities

2004
$000's

Operating loss (458)
Depreciation of tangible assets 16
Translation gain 441
Increase in stocks (14)
Increase in debtors (304)
Increase in creditors 116
-----------
Net cash outflow from operating activities (203)
===========

B. Analysis of net cash

Acquisitions Cash flow 31 December 2004
$000's $000's $000's

Net cash at bank and in hand 18 8,084 8,102
========= ========= ===========



C. Reconciliation of net cash flows to movement in net debt

2004
$000's

Increase in cash in the year 8,084
Companies acquired 18
-----------
8,102
Net debt at start of year -
-----------
Net debt at end of year 8,102
===========


wilbs

On the way up

24,000 buy reckon that was funds?

Lets hope more news follows market seems less hostile for the moment this week

No, that was me!

The key section is:

'We have initiated an overall project feasibility study to 'fast track' the
development of Shorskoye and we have concluded that this development, on a
limited scale in the short term, was appropriate to take advantage of the
current high molybdenum prices.'

To me that reads that they are going to mine it, and that means positive cash flow this year. If the moly prices stay high and they are able to acheive their goal of 3.8million lbs of moly, then profits for the year should come in at approx 60m. Market cap is still only 20m.

Arrive early in order to avoid dissappointment.

Tallsiii

Thanks Tallsiii. Interesting.

Cheers, Madison

Blimey tallsii you dont mess around!!!!!

I don't find gems like this one very often.

U could retire on this one then IF pe will be 0.1

Yes, or start a hedge fund!!

The outlook of 2006 is production of 20 million pounds of moly. At a conservative price forecast of $15 per pound and a cost of $5 per pound, that leads to profits 200 million dollars. And that is before you look at the billions of dollars worth of copper in the Chelyabinsk mine in Russia.

This one is going to be big, whatever way you look at it!!!

who has got hard up and sold their 39 shares??
come on, own up!!
wilbs

OK Siii
I am finally convinced re EKA but feel this to be a bit of a long term investment. Are you expecting much movement in the short term?

Are you still keen on VML also?

Dan

Daniel, I would expect this share to rise several times over before the end of this year. But you are right that it is long term as it should keep on rising into 2006.

The company has not yet spent any time or money on marketing itself to the city. As it does so the share price should rise and as it if achieves what it says, then it should go up further still.

Am still very much into Vane, check out the board.

Refresh

Dear Mr Ransley,


We plan to promote after the Shorskoye feasibility study has been completed, in
approximately 8 weeks. We cannot give profits at this stage until the
feasibility study is finalised.

Thank you for your comments.

Michelle Surtees-Myers
Eureka Mining Plc
Hatfield House
1st Floor
52/54 Stamford Street
London SE1 9LX
Tel: +44 (0)20 7921 8810
Fax: +44 (0)20 7921 8811
e-mail: michelle.myers@eurekamining.co.uk



-----Original Message-----
From: James Ransley [mailto:jransley@hotmail.co.uk]
Posted At: 24 April 2005 09:04
Posted To: Eureka_Info
Conversation: Shareholder
Subject: Shareholder

I understand that you have stated that you do not intend to promote the
company until the final results arrive from the molybdenum project. When are
these results expected and will the company release a statement saying
should the market conditions remain unchanged the company expects a profit
of xxxxxxxx as Biofuels recently had. I believe the shareholders would
greatly appreciate it as the market is becoming increasingly hostile to
small miners who are not yet producing. I have great faith in your company
and hope to hear the final results from the molybdenum mine soon.

Thankyou for your time James Ransley

jransley@hotmail.co.uk

Nice one Jimbob. The 8 week timescale is consistent with their AGM on 14th June. I plan to attend.

great comments.

cheers for the updates tallsiii. you are slowly but surely selling me on this one....maybe next week.

So we reckon the news be out just before AGM to please shareholders

or just after?

B4
Friday 10th
Monday 13th
Later

What do U think

Has it reached bottom now?

3 days of small rises now U think we've hit bottom ?

Difficult to say in this market. It could be dragged down in any further sell off of small miners.

Another good day tallsii

News of this share is starting to get around in a small way. I saw a post on www.iii.co.uk where some people were rating it. It will be interesting to see what happens between now and the AGM.

morning Siiiiii

i think you are to something here...am putting my portfolio together and looking very closely at this one. what is the big news we are waiting for to potentially rerate this stock?

It is difficult to say until a sucessful feasibility study is confirmed in June.

cheers. but i assume we are hopeful about this study...

The delay is an issue, but fingers crossed.

Great day +7.5p thats 5 days of rises

Yes something appears to be happening.

Their website has been updated.

the word is getting out?

Eureka Mining PLC
11 May 2005



EUREKA MINING PLC ('the Company')

Significant shareholding

The Company was notified on 10 May 2005 that Man Financial Limited had acquired
an interest in the shares of the Company resulting in a total holding of 598,917
Ordinary Shares of 1p each in the Company. This represents 3.38 per cent. of the
issued share capital of the Company.

From what we can guess this holding of around 750k is either Man the hedge fund, Man spread trading the spreadbetter or GNI the CFD provider. Either way it is an entity that is prepared to put a fair amount of cash into this little prospect.

Tallsiii

Moly is now up to $37.50 per pound!!

Copper fell for a bit but read that its expected to go up again. Very big buys today but no rise.

Just released:

LONDON (AFX) - Eureka Mining PLC said its chairman Kevin Foo and chief executive David Bartley have increased their stakes in the company.

In a statement, the company said Foo bought 23,500 shares at 1.27 stg each, raising his total holding to 2.70 pct while Bartley bought 123,840 shares at the same price.

He now holds a 1.69 pct stake in the company.

newsdesk@afxnews.com

Cheers, Madison

Does that preclude any news for the next 3 months though?

The price seems to be moving off the back of the director buying.

a nice mondat morning for you!

very strong gains off relatively low volume. I think those that are in are in for the medium term now and small buy volumes are likely to see the prices rising significantly from now on.

Whats your view tallsii

It probably won't be long before the SP gets back up to its previous peak.

I think the rises on small volume are due to the fact that miners in general are coming back into favour.

The real gains should happen later in the year when actual production is occuring and there is a definate sale price for the moly. Production of anything more than 2m lbs with a moly price of anything above $20 per lb should easily double the SP.

17-May Buy Kevin A Foo 127.00p 23,500 29,845.00
17-May Buy Jonathan S Barrett 127.00p 7,830 9,944.10
17-May Buy Malcolm James 122.00p 61,000 74,420.00
17-May Buy Malcolm James 127.00p 47,000 59,690.00
17-May Buy David Bartley 127.00p 123,840 157,276.80

Tallsii just checked your website http://www.monterrico.co.uk/s/MetalPrices.asp for price I take it you divided the prices by 2.2 to get it in pounds.

Price now $44 lb

Could the company sell future production at a discounted price to take advantage of the currently high prices?

New Sums

3,800,000lbs of molybdenum last quarter at $46.6 per pound minus $5 in extraction costs

3.8mill x (46.6 - 5) = $158 million approx = 86.6 million


Current Market Cap 24 million

If assume valuation on 8 times PE in 4 quarters not one

86.6 million x 4 x 8 = 2,771 million

2,771million / 24 million = 115.5 times potential multiple of current share price



Next Year

Production target 20,000,000lbs molybdenum according to tallsii's statement above

20,000,000 x 41.6 = $832 million approx = 456.3 million

assume valuation at 8 times PE

456.3 million x 8 = 3,650 million

3,650 million / 24million = 152 times current valuation

or current sp x 152 therefore 137p x 152 = 20824p = 208.24 each

Can U look over these tallsii

Jimbob

The price tend to go on is that of Molybdenum Oxide. This one is quoted on the Monterrico website and is currently sitting at $38.50. The two ferro molybdenum prices did shot up last week, suggesting the underlying market is still rising.

As for the sums, if we are right, then we could be looking at a share that will make the returns on Asia Energy look like a deposit account. But as we know if something looks too good to be true, then it probably is. So don't put your house on it just yet!!

Tallsiii

wise words tallsiii! am i right in saying there is news out in the next couple of weeks?

There have been a number of timescales given for the final announcement on the Shorkye fesability study, but I hope there will be something out within a month.

Shorskye is a very hot prospect, but the future beyond that looks very bright also. Chelyabinsk in Russia is due to commence production in 2006 if all goes well with the fesability study. The resource estimates for this mine are 3.37 million tonnes of copper and 3.61 million lbs of gold.

If you assume a conservate $1 per lb for copper and $300 per lb of gold, then valuation looks very good.

3.37 million tonnes of copper = 6740 million lbs copper = $6.74bn

3.61 million lbs of gold = $1.083bn

After extraction cost and discounted cash flow this may boil down to a valuation of just $1bn.

Again this looks too good to be true, but if it is, then it will certainly give them something to be playing with when the molybdenum price has come back down to earth.

Good day so far half of me wants it to stagnate for a bit so that I can try and get some more funds together.

Maybe we should close down the thread for a few weeks until the news comes out. There are only really three of us at the moment anyway.

Tallsiii

No, I'm reading you!

Cheers, Madison

Only kidding! This board is a wonderful sense and sanity test for my analysis.

we love you man!

Healthy buying so far

yes 50k bought so far today. There seems to be a very steady upward path forming in this share.

Good day occasional chunky sells, people doing some trimming as price rises ?

or something else ?

Up again but chunky selling going on with lots small buys

opinions welcome !

50/- at 155. nice. i am in (not the 50/- though!)

Still waiting for the news.

the moly price is now up to $39.25. If there is going to be a major drop off in the price of moly, then it looks unlikely to be happening this year.

i agree. tallsiii - check out the CSB thread. the IB Daiwa stake has quadrupaled since i saw them...speak later.

Tallsii U still planning to go to AGM?

Will u give us a summary?

Yes will do.

not a bad little announcment...



Eureka Mining PLC
15 June 2005


Eureka Mining Plc

Cooperation agreement with
Chelyabinsk Government, southern Russia

Eureka Mining Plc ('Eureka' or 'the Company') (Tic: EKA) today announces the
signing of a cooperation agreement with the Government of Chelyabinsk Oblast
('Government'), southern Russia.

Under the agreement, the Government will provide Eureka with full support in the
form of regulatory assistance, access to infrastructure and public utilities and
permitting to ensure the Company's successful development of the Chelyabinsk
copper/gold project and future projects in the region.

The agreement confirms the commitment of Eureka and the Government to
work together in the socio-economic development of the Projects

The Government will provide to Eureka regulatory assistance, access to
infrastructure and public utilities and assistance in obtaining future
consents.

Eureka will implement a series of social programmes to assist
the Government in developing the State welfare structures in the region over
the lifetime of the Projects

Eureka will reimburse the funds historically invested by the Government of
approximately US$2.5m in geological research relating to the Projects

Commenting on the agreement today David Bartley, CEO, of Eureka said: 'The
massive resource potential in the FSU is well known and today Eureka has laid
the foundations of a long term relationship with the Chelyabinsk Government in
southern Russia. With such firm support from the Chelyabinsk Government
administration as we progress the development of our gold-copper project, we
look forward to the completion of the Economic Scoping Study in Q3 2005.'
First Vice Governor Dyatelov confirmed the interest of the Chelyabinsk Region in
the development of modern mining enterprises in the region and said of the
recently signed agreement between Eureka and the Regional Administration, 'We
support any investment project which helps develop the social and economic
sphere of our region, assuming that it operates in a legal manner, is
economically effective, and ecologically safe.'

For further information:

David Bartley Kevin Foo
Chief Executive Officer Chairman
Eureka Mining Plc Eureka Mining Plc
Tel: +44 (0)20 7921 8810 Tel: +44 (0)20 7921 8810

Laurence Read/Amanda Harris
Conduit PR
Tel: +44 (0)20 7618 8760 / +44 (0)7979 955923

Chelyabinsk Copper-Gold Projects in Russia

On 13th January 2005, Eureka announced the acquisition of 51% of the Chelyabinsk
Copper/Gold Project in the southern Urals region of Central Russia and, subject
to the satisfactory conclusion of a feasibility study, the Company has the
exclusive option to acquire 100% of the project.

The Chelyabinsk copper/gold project comprises three separate deposits,
Miheevskoye, Tominskoye and Taruntinskoye. Drilling to date has delineated total
C1 and C2 resources of 609 million tonnes at 0.74% Cu equivalent. Contained
metal is currently estimated to be 3.37 million tonnes of copper, 3.61 million
ounces of gold and 99 million pounds of molybdenum. Preliminary mining studies
on two of the deposits have identified high grade ore in excess of 1% copper
equivalent in the initial years, with low mining strip ratios.

The two largest deposits, Miheevskoye and Tominskoye are copper/porphyry
deposits and are located 200km and 40km respectively from Chelyabinsk.
Taruntinskoye is a skarn deposit located on the Russian-Kazakhstan border,
approximately 100km south of the city.

All three deposits are connected by the same rail network, providing synergies
in transport and production costs.

Many of the key elements required for commercial success of a mine are present
in the Chelyabinsk projects. These include:

Good infrastructure - available and accessible
Low cost grid power near all project sites
Rail access near all project sites
Gas pipeline access
Flat terrain
Secure land tenure/ownership
Low cost mining - low strip ratios
Competitive metal grades and high grade starter pits
Good concentrate grades and recoveries with no penalty elements; and
Close proximity to local smelters

Eureka is now completing an economic scoping study using technical, social and
environmental data for mine development. This work is currently underway with
various international consultants with local Russian experience being utilized
in the initial phases.

The economic scoping study is scheduled for completion in Q3 2005.

The Chelyabinsk Region

The Chelyabinsk region is located in central Russia, in the southern most part
of the Urals and contains over 50 per cent of all Russia's known copper
resources. Chelyabinsk is one of Russia's largest cities with 1.2 million people
and the region has a population of approximately three million people. The
region has excellent infrastructure, with the Project's three deposits located
within a short distance of road, gas, water, high voltage power, smelters and
direct rail access to Asian, Russian and European markets.

The Agreement

The Chelyabinsk Government will fully assist Eureka with:

Continued assistance with regard to the satisfaction by Eureka of the
regulatory requirements of the exploration licences necessary for the
Projects
Access to Government utilities required by Eureka in the region
Allocation of land and infrastructure to Eureka
Assistance in obtaining any future regulatory consents that may be
required

Eureka has confirmed its intention to cooperate with the Government in the
socio-economic development of the region, including the implementation of a
series of social programmes to assist the Government in developing the State
welfare structures in the region including assistance in:

The reconstruction of transport and communication infrastructure
Modernisation of medical and educational facilities
Construction of housing

In recognition of the Government's commitment, as evidenced by the agreement
announced today, Eureka has agreed to recognise the historic costs incurred
during the period from 1997 to 2002 by the Government in relation to the
geological, prospecting and evaluation work at the Projects.

Eureka has agreed to reimburse up to US$2.5m of these expenses to the
Chelyabinsk Government, with such reimbursement being in instalments over the
life of the Projects.


This information is provided by RNS
The company news service from the London Stock Exchange

Tallsii, not a great day today was there a cause at the meeting?

Tallsii, getting a bit concerned by the large number of sells since the AGM should I be or not?

PCF Last week issues an RNS stating that they had been approached in the early stages of a bid. The current valuation is way to low and is about to rocket with the full bid any day. The company is moving back into profit and several broker/tipster recommended it as a buy prior to the bid news

On top of this there is a rumour of a second bidder in the wings going about

This will reach new highs this week, now is the time to get in before it heads toward 100p, current sp is 32p

IMHO

I think the sells are due to the annoucement of the payment to the Russian government and the drifting moly price. It is just off its all time high at the moment. But even at $6 per lb the moly mine will still make money.

The final pieces are being put in place with local processing facilities. Production is still expected by the end of this year. I came away from the AGM very confident in the abilities of the directors of this company. I expect them to make us a lot of money this year.

got the horn today (the stock not me). up 4% on 60,000 shares traded

Don't know why though! MAybe the MMs know something we don't?

maybe a few guys quoting at the same time. often happends. if you are asked a price and size in a stock at then they buy a few to work some more in the mkt then everyone gets wind of it and moves out the way until it settles doen a few spreads higher (or lower!). no complaints!

spiked at the close (MM trades)...no complaints!

Not the best week opinions on cause welcome

lack of info...stale bulls getting out.

i will look to add in the mid 1.20's

Moly price dropping is probably the cause of the current weakness. It may well continue for a while, but a clear statement of intentions along with profit forecasts from EKA would wipe out any concern over the moly market.

We sit in wait.

Eureka Mining PLC
21 July 2005



Eureka Mining Plc

JV Signed For Kazakhstan Molybdenum Production/Feasibility Study Completed
Production expected Q1 2006

Eureka Mining Plc ('Eureka' or 'the Company') (Tic: EKA) today announces the
signing of a joint venture agreement (the 'JV Agreement') with KazAtomProm
('Kazatomprom'), the state uranium company of Kazakhstan. Under the terms of the
agreement, Eureka will utilise Kazatomprom's Stepnogorsk industrial and plant
facilities to process molybdenum from the Company's Shorskoye Project
('Shorskoye') in exchange for a 50 per cent. interest in Ar-Man LLP, Eureka's
wholly owned subsidiary, which holds the 100 per cent. interest in Shorskoye.

In conjunction with the execution of the JV Agreement, Eureka has now also
completed the Feasibility Study on Shorskoye.

Commenting today on the JV Agreement, David Bartley, CEO of Eureka, said, 'With
the signing of this joint venture Eureka is firmly on track to generate cashflow
from molybdenum production at Shorskoye in early 2006. The joint venture gives
us access to processing infrastructure for base metals over the next 15 years
and with the full support of Kazatomprom, we will be seeking new deposits, which
we can feed through the plant along with the molybdenum from Shorskoye.'

Highlights:

Eureka to fast track mining at Shorskoye to begin by Q3 05 and
metal production and cashflow by Q1 06;

The JV Agreement will be conducted through a limited liability partnership,
Molyken LLP ('Molyken' or 'the Partnership');

Eureka and Kazatomprom each own 50 per cent. of Molyken, which
now holds 100 per cent. of Shorskoye;

Kazatomprom provides full infrastructure for molybdenum processing and modern
rail and transport facilities;

Eureka has 15 year access to processing infrastructure -
Molyken will actively look to acquire further projects to treat at the
Stepnogorsk plant; and

Feasibility study complete and low risk strategy with fast track payback.

Pirmatov Eshmurat, General Director of the Stepnagorsk Mining Chemical
Corporation, Kazakatomprom, 'This is a great opportunity, we have the plant and
Eureka has the project. We have also started looking for new projects as part of
the joint venture and look forward to a successful and long relationship with
Eureka.'

For further information:

David Bartley Kevin Foo
Chief Executive Officer Chairman
Eureka Mining Plc Eureka Mining Plc
Tel: +44 (0)20 7921 8810 Tel: +44 (0)20 7921 8810

Laurence Read/Amanda Harris
Conduit PR
Tel: +44 (0)20 7618 8760 / +44 (0)7979 955923



The Joint Venture Agreement

The following points summarise the key terms of the JV:

Eureka has contributed to the Charter capital of Molyken its
100 per cent. interest in the subsidiary Ar-Man LLP, which has the subsoil use
rights and contract for the exploration of Shorskoye;

Kazatomprom has contributed property to the Charter capital of Molyken, including
the Stepnogorsk industrial and plant facilities for grinding, crushing and other
related infrastructure;

Molyken shall distribute 100 per cent. of its profit available for allocation,
provided such payment does not conflict with the execution of any obligations of
the Partnership;

Molyken shall bear 100 per cent. of the total sum of expenditures connected with
the establishment of Molyken; and

Molyken will actively aim to acquire further deposits that can be mined and
treated at the Stepnogorsk facility and further generate cashflow.


Kazaktomprom

Kazatomprom is one of the top three companies in the world by uranium reserves
and the fourth largest producer of uranium.

In 1997, the Government of Kazakhstan decided to unite uranium and rare metal
industries into one commercial structure representing the interests of
Kazakhstan on the world markets of nuclear fuel cycle and rare metals. A closed
joint stock company, Kazatomprom was formed as a national export and import
organisation for uranium and other materials of dual use. The sole shareholder
is the Government of Kazakhstan.

Kazatomprom also has joint venture agreements with Areva of France and Cameco
Corporation of Canada.

Kazatomprom produces natural uranium, products for power stations and
semi-products of beryllium, tantalum, niobium and its alloys. The quality of the
production is high and the company enjoys a strong relationship with strategic
global markets.

Kazatomprom is regulated in accordance with International Atomic Energy Agency
(IAEA) standards and is an active member of the World Nuclear Association and
the International Tantalum and Niobium Study Center.


Infrastructure

The Stepnogorsk facility is a chemical metallurgical plant capable of processing
numerous raw materials including, but not limited to, molybdenum, uranium and
copper. The plant has substantial infrastructure associated with it, including:

rail and related unloading facilities;
six crushers (one primary gyratory and five cone crushers);
six ball mills;
water;
trained and experienced personnel; and
all other related infrastructure required.

The Shorskoye mine site is situated approximately 7km from the Karazhyra open
pit coal mine and therefore the majority of required ancillary infrastructure
has already been developed and is accessible. Minimal additional infrastructure
is required to develop Shorskoye and only minor service provisions to the open
pit are required. These include:

10kV power and emergency diesel generator supply;
mine camp (50-100 man, dependent on mining rate);
site offices; and
telephone trunk line.


Implementation and schedule

Utilising the Stepnogorsk processing facility allows Eureka to develop the
Shorskoye asset and take advantage of the buoyant molybdenum market, commencing
mining in Q3 05 and saleable concentrate by Q1 06. The key project milestones
are:

August 2005 - award contracts
August 2005 - first blast and ore to crusher
September 2005 - first ore to Stepnogorsk
October 2005 - first equipment to Stepnogorsk
January 2006 - concentrator commissioning
February 2006 - first concentrate


Feasibility Study

The Feasibility Study has been prepared under the Base Case scenario that the
Shorskoye Molybdenum Project would be developed through the Stepnogorsk plant.

Kazatomprom are to contribute rail car unloading facilities together with their
crushing, grinding circuits and related infrastructure. Kazatomprom are to also
provide under utilised sections of the Stepnogorsk concentrator to install the
molybdenum concentrator and product dewatering facilities.

Key Financials:

Payback six months
Capital US$9M (includes US$1.90M working capital)
Only eight per cent. of Shorskoye reserves mined Further cash flow can
be generated by increasing tonnage through plant
Molybdenum price assumed is conservative against today's price, at US$20
/lb for one year and US$10/lb thereafter (current price is US$35/lb)
Further review of Copper ('Cu') and Rhenium ('Re') will be undertaken
during production to evaluate the economic viability of their recovery

The Company has commenced discussions with several financial institutions for
the financing of Molyken and it is expected to engage an institution within the
next month.

Mining

A contract mining fleet will be engaged to commence top soil removal at the
deposit in order to facilitate the removal of oxide and transition overburden.
This will expose fresh ore for mining and shipment to Stepnogorsk to meet the
commissioning and production schedule. Eureka has already received bids from
local drilling and blasting companies and mining contractors.

Mining is due to commence in Q3 05 and a mining contract is due to be awarded in
the next month.

Resource Evaluations Pty Ltd, an Australian-based independent geological
resource evaluation group, has completed the JORC resource estimate for the
Shorskoye East deposit, shown below:

Shorskoye East JORC Compliant Resource Estimate

Tonnes Grade Contained Metal JORC
Ore Molybdenum Copper Cut off Molybdenum Copper Category
Million tonnes % % Mo % Mlb Mlb

25.48 0.087 0.054 Uncut 49.1 30.5 Inferred
13.97 0.113 0.062 0.07 34.8 19.1 Inferred
5.36 0.163 0.070 0.10 19.3 8.3 Inferred
3.11 0.202 0.067 0.12 13.8 4.6 Inferred

Of important economic significance is the high grade zone of 5.4Mt at a grade in
excess of 0.16 per cent. Molybdenum ('Mo') and 0.07 per cent. Cu and from this,
an initial mineable resource of 1.8Mt at 0.26 per cent. Mo and 0.07 per cent. Cu
(5.3 per cent. copper equivalent at today's molybdenum price) has been defined.

Processing

Metallurgical testwork on ore from the Shorskoye deposit was performed at the
Kazmekhanobr Institute in Almaty, Kazakhstan. Testwork has defined a suitable
flowsheet for the concentration of the molybdenum in the ore. This flow sheet
involves a coarse grind, bulk flotation of the molybdenum differential flotation
for copper and molybdenum mineral separation and cleaner flotation to recover
around 85 per cent. of the feed metal, into a 49-53 per cent. Mo metal
concentrate.

Shorskoye is expected to be able to initially produce a minimum concentrate
specification with MoS2 grade of 85-90 per cent. (i.e. 49-53 per cent. Mo). This
specification is a starting value that would be targeted for an initial off-take
agreement and would be expected to improve over the project life.

The Stepnogorsk processing facility has a rated capacity of 1.4 Mt/a, more than
double the requirement for the planned production rate from Shorskoye.
Construction of the concentrator within the existing stripped out section of
concentrator building has commenced.

Molyken is expected to award a contract to fabricate the flotation circuit
within the next month and several tenders have been received.


off-take

Significant interest has been received from companies established in the global
molybdenum industry, for the off-take of the molybdenum sulphide concentrate.
Discussions are ongoing with several companies.




This information is provided by RNS
The company news service from the London Stock Exchange

It looks like the market has not taken well to this news. It may be that some are not comfortable with the idea of giving half the profits to the Kazakstan government. But at the least the feasability study is complete and the company has made a clear statement about how they are going to move forward.

Political links are the key thing that make or break a company in the FSU, so while it is costing them a lot of money, I think it is very positive that they have the government on board.

Minews Story
Date: July 22, 2005

Eureka Mining Pulls Off A Great Molybdenum Deal With the State Uranium Company Of Kazakhstan

It may have taken the best part of six month to negotiate, but AIM listed Eureka Mining has pulled off quite a coup with its joint venture announced today with KazAtomProm, the state uranium company of Kazakhstan. No, it is not a uranium deal, which would probably be regarded as top of the pops with some investors, it involves molybdenum, the price of which has matched uranium over the past year. Under the terms of the agreement, Eureka will utilise KazAtomProm's Stepnogorsk industrial and plant facilities to process molybdenum from its Shorskoye project which is also in Kazakhstan. As payment KazAtomProm, will be given a 50 per cent interest in Shorskye, but the important point is that this means that it can be brought into production early in 2006 rather than two years later as originally thought.

Eureka listed at the beginning of 2004 and over the past year David Bartley, its CEO, has been almost permanently in Kazakstan and Russia, bar about five weeks, but that is the only way to do good deals in Asia and China a point which some of the companies claiming to operate in these countries should note. . This week he is in London with a smile on his face, though a little shakey from a bout of malaria caught some years ago in the Philippines, and he has some other good news. This is the start of a long term relationship with the Kazakh company and the two of them will be seeking new deposits, which we can feed through the plant along with the molybdenum from Shorskoye.

Kazatomprom is one of the top three companies in the world by uranium reserves and the fourth largest producer of uranium.In 1997, the Government of Kazakhstan decided to unite uranium and rare metal industries into one commercial structure representing the interests of Kazakhstan on the world markets of nuclear fuel cycle and rare metals.. The sole shareholder is the Government of Kazakhstan and KazAtomProm has joint venture agreements with Areva of France and the leading Canadian uranium producer Cameco. In addition to uranium and products for power stations it also produces semi-products of beryllium, tantalum, niobium and its alloys.

The Stepnogorsk facility is a chemical metallurgical plant capable of processing numerous raw materials including, but not limited to, molybdenum, uranium and copper. The plant has substantial infrastructure associated with it, including rail and related unloading facilities, crushers, ball mills and other related infrastructure as well as trained and experienced personnel. The Shorskoye mine site is situated approximately 7kms from the Karazhyra open pit coal mine and therefore the majority of required ancillary infrastructure has already been developed and is accessible.

The feasibility study at Shorskoye is now complete and it represents low risk strategy with fast track payback which is just what junior companies need. This fast track production will allow both companies to take advantage of the buoyant molybdenum market with mining commencing shortly and the first sales of concentrate scheduled for February 2006. The capital required is only US$9 million including US$1.09 million of working capital and payback is expected in six months so funding will be no problem. Only 8 per cent of Shorskoyes high grade reserves are being mined initially, but further cash flow can be generated by increasing tonnage through plant. This high grade zone of 5.4 million tonnes grades in excess of 0.16 % molybdenum and 0.07 % copper and from this, an initial mineable resource of 1.8 million tonnes at 0.26 % and 0.07% copper, which is equivalent to 5.3% copper at todays molybdenum price, has been defined.

It should not be assumed that Eureka is a one-mine wonder as it also acquired the copper/gold deposits around Chelyabinsk in Southern Russia at the beginning of this year under the nose of significant competition. The Chelyabinsk region of the Urals contains over 50 per cent of all Russias known copper resources, is heavily industrialised and provides gas, water, high voltage power, smelters and excellent road and rail access all a short distance from the deposits There are three deposits, two copper/gold porphyries at Meheevskoye and Tominskoye and a scarn at Taruntinskoye. The two largest deposits, Miheevskoye and Tominskoye have been extensively explored by the Russians and the combined projects have resources of 3.37 million tonnes of contained copper and 3.61 million ozs gold in the Russian C1 and C2 categories.

Eureka has begun a two-pronged feasibility study to test an open pit and concentrator at Miheevskoye processing up to 20 million tonnes of ore/year to produce copper and gold in concentrate and another open pit at Tominskoye with a heap leach and an SX/EW plant producing copper metal. The chances of the study being positive are good and Barclays Capital has already been engaged to help with funding. The ore is reasonably high grade at 0.8% copper, the stripping ratios very low, and there is excellent infrastructure. The study should be completed by the second quarter of 2006 so the company is now on a roll and worthy of attention.

I have looked up the canadian miner they mention in this article Cameco, they did a joint venture with KazAtomProm five years ago that was on very similar terms to the one struck by Eureka. Since then the Cameco SP has tenbagged.

Obviously there is no gaurantee that EKA will follow suit but this does offer some comfort with respect to the integrity and the processing ability of Kazatomprom.

Moly float this week went well on AIM we might just be being neglected at the moment

Moly price recovering and share price falls, just a good buying opportunity?

Any reason known for the fall in SP?

where is Moly trading right now?

Its $34.25 started moving up about 20th sept from just below $30

Although SP falling it looks like sells are small and buys are big

Fell again this morning

It looks like everything is taking longer and costing more than expected. Chebinsk now looks like the biggest opportunity for this company. Looks like a definate long termer though.

Kazakhmys said it planned to use about half of the 661.4 million pounds ($1.2 billion) raised for organic growth as well as acquisitions. Also stated belief that Kazakhstan is the place to be being next to China and that they beieve that Chinas rapid growth will continue over the next 5 years. Suggesting likely to be shopping in Kazakhstan.

With the Chelyabinsk Copper Project as well as Shorskoye molybdenum deposit does anyone else think that a bid could be possible, Chelyabinsk is meant to be a 'world class deposit'

Any opinions welcome

Jimbob

tallsiii u out there?

5.8% DROP TODAY, any ideas

Buying opportunity, or something more sinister?

Opinions welcome

The company so far is not living up to what was promised. Time schedules have been set back and expected volumes have been reduced while unit cost forecasts have been edging up. So it is no suprise that the SP has dived a bit.

Though if the current set of forecasts is to be believed, then we should be looking at a PE of 2 for 2006 with added bonus of Chebinsk being a potential company maker. So I am hanging on in there with a ruduced stake.

i cut ages ago and will wait for your signal tallsiii....

how are things old boy?

The big find at VOG appears to have given a lift to EKA.

Aside from that it may be time to review EKA now that we approach 2006 'the year of production'. The Moly price has stayed up there (currently $30 per lb), contrary to many expert preidcitons for a crash. EKA has now forecast costs at $5-$7 per lb and they talk about average production of 2.7 million lbs per year.

So a conservative 2 million lbs in the first year with a margin of $10 per lb would generate $20 million. That is half their current market cap, and so if they can acheive that then they are currently pretty cheap.

It is also worth noting that the value of the resources in Chebinsk is a serveral times multiple of the recent natural gas discovery made by VOG.

I am not saying it is time to buy now, but unless they dissapoint us again with expectations for 2006, they may have no reason to trace back below where they are now.

Looks like EKA is trying to stay with the VOG coat tails. They were both spun off from CER and still both have the same chairman.

The value of the VOG discovery is around $4bn, while the value of the resources at Chebinsk is around $18bn. That compares favourably with the EKA market cap of 30m.

Though the real issue is whether they can get it out of the ground and get it out of Russia without losing too much of it in 'taxes'.


Regulatory Announcement

Go to market news section

Company Eureka Mining PLC
TIDM EKA
Headline JORC Resource
Released 07:00 22-Nov-05
Number 4480U



RNS Number:4480U
Eureka Mining PLC
22 November 2005




Eureka Mining PLC

Chelyabinsk Copper Project Miheevskjoye Deposit - JORC Resource
1.66 Million Tonne Copper and 2.8 Million Ounces Gold

Eureka Mining Plc ("Eureka" or "the Company") (Tic: EKA) today announces that
the Joint Ore Reserves Committee Resource ("JORC") estimate for the Miheevskoye
Copper Deposit at the Chelyabinsk Copper Project has been confirmed by Snowden
Mineral Industry Consultants ("Snowden").

The deposit forms part of the Chelyabinsk Copper Project ("the Project") in the
Southern Urals region of the Russian Federation, approximately 400km south of
the city of Chelyabinsk, one of Russia's largest cities.

These results, initially determined by Perth based consulting firm Resource
Evaluations Pty Ltd ("ResEval") have also now been reviewed and confirmed by
Snowden, one of the world's leading and largest independent resource evaluation
groups.

Highlights

Large JORC resource of 405 Mt at an average grade of 0.41% copper ("Cu")
and 0.22g/t gold ("Au") calculated by ResEval and endorsed by Snowden

Contained metal of 1.66 million tonnes Cu and 2.8 million ounces Au

Mining studies indicate that a high grade starter pit of 0.9% Cu
equivalent with very low mining strip ratio can be mined in the initial
years

High grade significant intersections include:

149m @ 1.19% Cu eq*
277m @ 1.24% Cu eq*
303m @ 1.07% Cu eq*
252m @ 0.90% Cu eq*
216m @ 0.93% Cu eq*

Snowden's independent review suggests the deposit has the potential to
increase in grade with further definition drilling.

* Based on a copper price of US$0.90c per pound and a gold price of US$425 per
ounce

David Bartley, CEO of Eureka Mining said, "This is a substantial resource which
has been confirmed by Snowden, situated in a major industrial area of the world.
We look forward to announcing results of the Chelyabinsk Scoping Study soon."

The Company also wishes to announce that the Shorskoye Molybdenum Project is
still on track for producing cash flow in Q1 06 with the molybdenum ("Mo") price
still at a comfortable level of US$35/lb.


For further information:

David Bartley/Kevin Foo Laurence Read
Chief Executive Officer/Chairman Conduit PR
Eureka Mining Plc Tel: +44 (0)20 7618 8760 /
Tel: +44 (0)20 7921 8810 +44 (0)7979 955923
www.eurekamining.co.uk




The Chelyabinsk Copper/Gold Project

On 13th January 2005, Eureka announced the acquisition of 51% of the Chelyabinsk
Copper/Gold Project in the southern Urals region of Russia and, subject to the
satisfactory conclusion of a feasibility study, the Company has the exclusive
option to acquire 100% of the project.

The Chelyabinsk Copper/Gold Project comprises three separate deposits,
Miheevskoye, Tominskoye and Taruntinskoye. Over 80 km of drilling has been
completed to date, delineating total C1 and C2 resources of 687 million tonnes
at 0.70 per cent Cu equivalent. Contained metal is currently estimated to be
3.57 million tonnes of Cu, 4.2 million ounces of Au and 99 million pounds of Mo.

JORC Resource on Miheevskoye

The Inferred Mineral Resource estimate complies with recommendations in the
Australasian Code for Reporting of Mineral Resources and Ore Reserves prepared
in 2004 by the Joint Ore Reserves Committee ("JORC"). Therefore it is suitable
for public reporting. The ResEval Mineral Resource estimate, confirmed by
Snowden, is summarised in Table 1.

Table 1: Miheevskoye Deposit May 2005 Inferred Mineral Resource Estimate
280mRL to -40mRL, 0.2% Cu Cut-off Grade

Category Tonnes Cu Au Mo S Cu Au
MT % g/t % % T Ounces
----------- -------- ------ ------ ------ ------ --------- ---------
Oxide 16.3 0.55 0.23 0.0036 0.65 89,000 120,000
Transitional 12.8 0.46 0.23 0.0036 0.65 59,000 94,000
Fresh 375.7 0.41 0.22 0.0071 0.93 1,530,000 2,660,000
----------- -------- ------ ------ ------ ------ --------- ---------
TOTAL 404.8 0.41 0.22 0.0068 0.91 1,678,000 2,874,000
----------- -------- ------ ------ ------ ------ --------- ---------

Miheevskoye Deposit

The Miheevskoye deposit is hosted by volcanoclastics and basalts of Upper
Devonian to Carboniferous age. The deposit has a simple geometry of an overall
length over 2.5 km and the width varies from 200m to 400m. The reported Mineral
Resource for the Miheevskoye deposit encompasses the 320m vertical interval from
280mRL to -40mRL which is the limit of drilling at the deposit. A total of 44km
of drilling has been completed on the deposit to date.

To determine the potential of the deposit below the base of drilling, where the
mineralisation remained open, the wireframes were extended an additional 100m
below the drill holes and then interpolated. This portion of the deposit (termed
Mineral Potential) comprises approximately 100 million tonnes and is additional
to the JORC compliant resource quoted in Table 1.

To check the integrity of the previous drilling, a verification drilling
programme was carried out by Eureka in 2005. A total of 5 holes were completed
which returned intersections of similar width and grade compared to the Russian
drilling. This was considered to have confirmed the previous work. In addition,
a large number of samples from the Russian drilling programme were re-analysed
by Eureka. These confirmed the previous results.

The deposit was estimated for Copper by ResEval using Inverse Distance to Power
2 (ID2) grade interpolation, constrained by resource outlines based on
mineralisation envelopes prepared using a nominal 0.20% cut-off grade.

A feature of the deposit which enhances its economic potential is the distinctly
higher grade zone in the northern portion of the deposit. Large zones of
mineralisation in excess of 0.6% copper with gold grades are present suggesting
that a higher than average head grade will be achieved in the early years of
mining at the project.

The internationally recognised consulting group Snowden Mineral Industry
Consultants was commissioned by Eureka to review the ResEval resource estimate.
Snowden endorsed the results and classification of the current estimate. Snowden
have also agreed to prepare the resource estimates to be used in the
pre-feasibility and definitive feasibility studies.

2005/2006 Drilling Programme

Since the resource estimate and mining study was completed, Eureka has commenced
a large drilling campaign with the objective of upgrading the defined resource
to Measured and Indicated Mineral Resource categories as part of the Feasibility
Study. Two Russian diamond drill rigs have been operating at the site since
March, and an additional four rigs commenced operations in early November.

To date, eleven resource definition holes have been completed and results have
been returned from four of the holes. Deeper holes in the high grade areas are
now underway to evaluate the potential for delineating further resources.

In addition to the resource drilling, programmes of confirmation drilling and
specific large diameter metallurgical drilling has been carried out. A summary
of work to date is shown in Table 3.

Table 3: Miheevskoye 2005 Drilling Completed

Type Count Metres
Confirmation 5 966
Metallurgical 7 920
Resource 11 3,202
Total 23 5,088



Appendix 1: Mineral Resource Summary - Miheevskoye Deposit November
2005 Estimate
Undiluted Inferred Mineral Resource, 0.2% Cu Cutoff Grade

------------ ------------ ------- -------- --------- ----------
Class Tonnes Cu % Au g/t Cu T Au oz
Measured - - - - -
Indicated - - - - -
Inferred 404,800,000 0.41 0.22 1,678,000 2,874,000
Total 404,800,000 0.41 0.22 1,678,000 2,874,000
------------ ------------ ------- -------- --------- ---------

The Mineral Resource estimate was completed using the following parameters:

The Miheevskoye resource area extends over a strike length of 2,500m and
includes the 320m interval from 280mRL to -40mRL.

Drill holes used in the estimate included 82 diamond core holes for a
total of 18,373m of drilling. The majority of holes were NQ equivalent
diameter.

Holes in the Miheevskoye area were drilled at approximate section
spacings of 200m except the higher grade northern zone which was drilled at
100m section spacings.

Holes were sampled using half core for all mineralised zones. Visually
unmineralised zones were either unsampled, or sampled using composite chip
samples from intervals from 4m to 10m.

For drilling completed since 1994, copper analyses were carried out
using the XRF technique. Prior to that acid digest with AAS analysis was
generally used.

Quality control data for the portion of the drilling completed between
since 1994 has been reviewed and was found to be satisfactory.

A programme of confirmation holes completed in 2005 was designed to twin
five existing holes at the project. The results of these have returned
similar intersection intervals and grade and are considered to have
verified the previous drilling.

Collar surveys of holes were carried out using conventional surveying
methods (theodolite, EDM) not by GPS.

The majority of historical drill holes have been downhole surveyed by
wireline survey. Readings were taken at 10m intervals down hole.

Wireframes were constructed using cross sectional interpretations based
on mineralised envelopes constructed at a nominal 0.2% Cu cut-off grade.
Zones of 'weathered' and 'fresh' were produced as separate wireframes.
Samples within the wireframes were composited to even 2.0m intervals. No
high grade cuts were used.

A Surpac block model was used for the estimate with a block size of 50m
NS x 25m EW x 10m vertical with sub-cells of 12.5m x 6.25m x 2.5m.

Inverse distance to power 2 (ID2) grade interpolation used an ellipsoid
search ellipse with a first pass radius of 150m and a second pass radius of
300m with the ellipse oriented to match the overall strike and dip of the
mineralised zones.

Bulk density values used for the estimate were 2.03t/m3 for oxide, 2.10t
/m3 for transition and 2.79t/m3 for fresh rock and were based on the values
determined from the Russian test work.

Resource classification was carried out on the basis of continuity of
mineralisation and drill hole spacing. The Mineral Resource was classified
as Inferred.




This information is provided by RNS
The company news service from the London Stock Exchange

END




London Stock Exchange plc is not responsible for and does not check content on this Website. Website users are responsible for checking content. Any news item (including any prospectus) which is addressed solely to the persons and countries specified therein should not be relied upon other than by such persons and/or outside the specified countries. Terms and conditions, including restrictions on use and distribution apply.

2005 London Stock Exchange plc. All rights reserved

Looks good.

EKA should start to take off now !

Some very good news coming according to the Times rumour today :


From todays RNS :

David Bartley, CEO of Eureka Mining said, "This is a substantial resource which
has been confirmed by Snowden, situated in a major industrial area of the world. We look forward to announcing results of the Chelyabinsk Scoping Study soon"


From the Times today :

http://www.timesonline.co.uk/newspaper/0,,2740-1882907,00.html

Eureka Mining, a sister company to Victoria Oil & Gas, last weeks AIM star rose 12p to 123p on word of a positive drilling update from its Chelyabinsk copper project in Russia.

Looks like a good days play from the MM's, paying more than bid for sells, and most buys at full offer, they wanted to get sells today, and did.

The expectation is the rumour from the Times of good news drilling update very soon, and they will want to sell into a large rise on that day, if and when it happens soon !

EKA is the sister company of VOG, is a certain person going to deliver a massive copper find after a massive gas find !?

And now the MM's lift it up after sucking some sellers out today ;)

An extract from July 05 IC write up (www.investorschronicle.co.uk), this is their latest one and was with a buy rating. Take this extract with the Times rumour and todays RNS ;



But Shorskoye may prove to be a modest operation compared with the Chelyabinsk copper/gold project to the north-west, across the border in Russia. Eureka acquired a 51 per cent stake in the project in January for 250,000, with an option to buy the rest from local partners for as much as $6m. There are three separate deposits and, earlier this month, Barclays Capital (the investment banking arm of Barclays Bank) was appointed as adviser and lead financier on the project. Phase I covers work up to the production of a bankable feasibility study and debt structuring to maximise the borrowing facility; phase II involves sourcing development finance of possibly up to $300m. Barclays' remuneration is in the form of warrants and fees if, and when, finance is secured.

Eureka is also working on two gold exploration projects at Dostyk in central Kazakhstan and at Kentau in the far south of the country close to the Kyrgyz Republic. An in-specie dividend in April 2004 reduced Celtic's shareholding from 44 per cent to 21 per cent.

Mr Foo gave some deliverance on VOG, now will he give us deliverence with a positive Chelybinsk update in the coming days/weeks. A positive drilling update would give EKA some serious upside, so lets hope the Times is right and news comes this week or next on Chelybinsk drilling.

Opened up at the start today, a good sign we hope.

They have already found the copper, billions of pounds worth in the Chelyabinsk mine.

tallsiii, if the Times rumour is to be believed then they have found something of great value in the Chelybinsk mine, just how big we will have to wait for the official news to say when it comes.

A copy of a post I put on AFN today;

azalea, firstly there is an IC article today that fund managers are becoming more focussed on miners with near term production planned, and moving away from just exploration types, which given the Q1 06 for Eureka, is good news.

_____________

Second there is a tip from Hemscott today for another copper company (www.hemscott.com) and I will copy an extract on copper but removing the company name as its good info for copper.

" Certainly the long-term outlook for copper demand seems very much in ******** favour. With the metal fundamentally tied to economic growth in general, the rise of China and India in particular should ensure the current tightness in supply-demand will be with us for some time yet.

As the company points out, over the past few years demand for copper has grown on average more than the growth of copper production. That led to a supply shortfall in 2003 which widened further during the course of 2004, with the total deficit estimated by some industry experts to be between 600,000 and 1m tonnes.

This, together with the fact that US, China and Japan have all seen healthy industrial growth over the last two years, has led to a recent decline in stockpiles of copper held by the international exchange warehouses, such as the London Metal Exchange.

The world copper price in September 2005 traded above US$1.70/lb. Four years ago the price was US$0.61/lb and it fluctuated between US$0.61/lb and approximately US$0.80/lb over the ensuing two-year period. Towards the end of 2003 the copper price rose sharply and since then it has fluctuated between just under U.S.$1.20/lb and U.S$1.70/lb. Recent strikes in the industry have further curtailed supply and provided support for the price through the third quarter of 2005.

The copper supply-demand dynamic remains tight and, tellingly, ********* points out that he could (as of earlier this week) secure a 27 month forward copper contract at $1.37/lb if he so desired, effectively accounting for the first years supply from ******* at that level. "
__________________

The earlier IC article on EKA is a Buy recommendation at 146p on 15th July 05.

Here is an extract from it (www.investorschronicle.co.uk)

" Within one month of flotation, it had established offices in Kazakhstan and commenced drilling at its Shorskoye high-grade molybdenum project. By the end of that month, it had three diamond drill rigs operating 24 hours a day in temperatures down to -20c. By end-December 2004, almost 10,000 metres of drill core had been logged. And, egged on by sky-high molybdenum prices (used to strengthen and harden steel), the company has fast-tracked the development of part of this mine and hopes to produce the first concentrates by the end of this year - some 12 months earlier than expected. The development costs are likely to be under $10m, using nearby processing facilities.

But Shorskoye may prove to be a modest operation compared with the Chelyabinsk copper/gold project to the north-west, across the border in Russia. Eureka acquired a 51 per cent stake in the project in January for 250,000, with an option to buy the rest from local partners for as much as $6m. There are three separate deposits and, earlier this month, Barclays Capital (the investment banking arm of Barclays Bank) was appointed as adviser and lead financier on the project. Phase I covers work up to the production of a bankable feasibility study and debt structuring to maximise the borrowing facility; phase II involves sourcing development finance of possibly up to $300m. Barclays' remuneration is in the form of warrants and fees if, and when, finance is secured.

Eureka is also working on two gold exploration projects at Dostyk in central Kazakhstan and at Kentau in the far south of the country close to the Kyrgyz Republic. An in-specie dividend in April 2004 reduced Celtic's shareholding from 44 per cent to 21 per cent. "

________________________________

A second article by the IC said buy at 142p on 29th July, saying the price would be higher by year end.

Extract here;

"Eureka Mining has signed a joint venture with Kazakhstan's state uranium company to accelerate the molybdenum production from Shorskoye. First production is planned for early 2006, which should make Eureka the first Aim company with a productive molybdenum mine"
_______________________________

Here is an extract from 23rd Sept IC article on Moly and Copper

" The most eye-catching of these lately has been number 42 in the periodic table - molybdenum. This alloying element only came into widespread industrial use in the 20th century, and it isn't even as if we use huge quantities of it today. World consumption of 'moly' amounts to around 155,000 tonnes a year, according to the International Molybdenum Association. But its price has rocketed over the past year to a peak of $40 a pound - or around $90,160 a tonne (see chart).

The main reason for this surge has been increasing demand. Molybdenum's main end use is as a hardening agent in the production of stainless and alloy steels, global output of which picked up sharply in 2004. As is so often the case these days, China was responsible for much of the hike in demand. The booming aerospace and defence industry has also contributed, owing to its heavy consumption of specialist heat-resistant alloys.

Until recently, supply of molybdenum has been relatively unresponsive to this rising demand. According to the US Geological Survey, this inelasticity is because around half the world's moly - and around three-quarters of western world supply - is mined as a by-product of copper. Only in China is moly mined extensively as a primary mineral, and accidents at mines there are another reason for the spike in prices.

Its main benefit to copper miners was that separating and selling moly reduced the net cash cost of mining the copper - spectacularly so in recent times. During the first half, soaring moly prices meant cash copper-mining costs at Antofagasta's giant Los Pelambres mine were actually negative. Indeed, the company could have let the copper pile up unsold and still made cash profits of 48 cents on each 1lb! "

________________________________

All in all things are very positive in this area, and with EKA on for Q1 06 with Moly, be prepared for a large rise, either before year end or just after, it should not be staying this cheap much longer.

If EKA don't delay their production (as they have done before), then their price should definately see a very large spike up over the next 6-12 months. Hang on in there, but it could be a choppy ride.

Have a read of this link on Moly;

http://www.goldinvestor.com/default.asp?c=2270

MARKET TALK:
Thu Dec 1, 2005 9:42 AM GMT

Link

UBS RAISES MINER PRICE TARGETS

Investment bank UBS raised its share price targets and earnings per share estimates on several UK-listed mining firms on Thursday, following upgrades to its copper, gold and molybdenum price forecasts.

"Strong Chinese demand combined with the declining quality of ore reserves should underpin copper prices. Strong jewellery demand and further growth in investment demand should boost the gold price in 2006," UBS said in a research note.

Still find it amazing with Moly production and cash generation due in Q1 06, things are not hotter here.

I am expecting some news in the next couple of weeks, maybe this week, just my opinion.

Molybdenum - the '21 st Century Metal'

By Ken Reser
September 12, 2005

The unique properties of Molybdenum alloys are utilized in many different applications

Corrosion resistance and strength in stainless steel, wrought alloys and super alloys. These uses accounted for approximately 75% of Moly consumption in 2004.

High temperature heating elements, radiation shields, forging dies, rotating X-ray anodes in clinical diagnostics, glass melting furnace electrodes, heat sinks for matching silicon for semiconductor chip mounts, interconnects on integrated circuit chips, coatings for piston rings and machine components.

Smoke suppressants & solid lubricants to reduce friction, Moly lubricants ie: grease & oils, engine corrosion inhibitors in coolants, lubricants in space vehicles.

Chemical processing equipment, vessels, tanks & pipelines, flame retardants, dry lubricants, light bulb filaments, inorganic paint pigments, chemical catalysts and desulfurization catalysts.

Non-ferrous alloys (super alloys) or nimonics account for about 3% of total demand for Moly. They are used in jet engine turbines, nuclear plants, gas turbines, space exploration and general aviation.

Nuclear reactor vessels. The reactor vessel serves to contain and support the reactor core and vessel internals. It is constructed of Moly carbon steel, lined with stainless Moly steel and has 8 inch thick walls.

Molybdenum is used for scrubbers in flue gas desulfurization (FGD) in coal fired power stations around the world. 9% to 16% Moly is used in inconel alloys for this process.

Soil supplement in agriculture as well as human and animal supplements.

Molybdenum alloyed with Rhenium (Mo-41Re & Mo-47.5Re) is used in electronics, space programs & nuclear industries. Moly-25% & Rhenium alloys are used for rocket engine components and liquid metal heat exchangers.

Moly steel is used extensively in the millions of miles of oil, gas and water pipelines around the world. (ie; 2 million mi of oil pipelines in USA and 1.3 million mi of gas pipelines) (source-U.S. Dept of Energy) the EIA in a working paper states that "to meet the U.S. Energy demand for natural gas alone the pipeline mileage must increase by 30% or more. (cost est. $150 b). By 2025 EIA expects the US will need 47% more oil & 54% more natural gas.

Now one must consider how many of the pipelines built between 1930 and 1969 (over 2/3 of the current lines in use today) need replacement, and how many 100s of thousands of miles of new pipelines will be needed around the world for our booming oil & gas industry and ever-increasing demands. Consider the refineries and gas plants that need to be built as well. Molybdenum plays a very big part in all of these endeavors.

One of the largest uses of Molybdenum is in drill stem steel tubing. In the 1970's when oil boomed so did the price of Molybdenum rise. The many 1000s of onshore and offshore drill rigs (and service rigs) in the world constantly replace this drill tubing due to heat and metal fatigue, especially with the depths now reached by our technology, and the heat encountered at the greater depths & with the down-hole weight of the drill stem stretching over many thousands of feet. This may be one of the times in history when the demands on Moly won't ease as the frantic search for new oil & gas supplies due to peak oil having been reached will give a new constant impetus to drill exploration.

On the immediate horizon for stainless steel and Moly use also is the fact that new maritime regulations now stipulate that all single hulled oil tankers built before 1987 must be decommissioned by 2010, and thus will be replaced by double hulled tankers. From the information available it appears that 170 vessels will be affected by this law by Apr. 5th 2005, the oil containment tanks in these ships are constructed of a Moly alloy steel also. Coupled with China's maritime fleet building in progress (military and commercial) it looks like a bright future for Moly in this area as well. There are at present about 3,600 tankers in the world. 1/3 of the world's oil is transported by just 435 of them, the large VLCCs (very large crude carriers).

Now to the space age and future of Molybdenum
(This is the interesting part)

The SAFE-400 space fission reactor (safe affordable fission engine) is a 400 kWt HPS producing 100 kWe to power a space vehicle using two Brayton Power Systems gas turbines driven directly by the hot gas from the reactor. The heat exchanger outlet temperature is 880 degrees. The reactor has 127 identical heat pipe modules made of Molybdenum.

Wall material for space reactors. Thin 99.9% purity Molybdenum foils for use in gas core reactors. Temperature ranges from 1500 to 2000 K.

Molybdenum Rhenium alloys for spacecraft reactor applications.

Molybdenum in ION space thrusters.

Molybdenum wire in radio telescopes.

NEXT generation ION thrusters, currently being developed as well as near term Nuclear Electric Propulsion (NEP) Program. Molybdenum & Carbon.

Multi layering in space telescopes with Molybdenum, Carbide and Silicon. TRACE (Transition Region And Corona Explorer) revealing the secrets of the Sun.

Molybdenum, Lithium "heat pipe." Los Alamos N.M. A pencil sized tube of Molybdenum, with Lithium core that moves heat from one end to the other may someday allow astronauts to travel to Mars and beyond. The heat pipes on NASA spacecraft will be in groups from 5 feet to 24 feet long. NASA's Marshall Space Flight Center is working to develop heat pipes for use in nuclear reactors to produce propulsion and generate electricity for spacecraft to travel the outer limits of the solar system. Heat pipes have been tested in space from shuttle missions & performed flawlessly.

Now you can possibly see why the world is viewing Molybdenum in a different light and it isn't just the demand from China, India and developing nations that is driving the price and uses. Moly is truly a metal of the future in many ways and we may never see the same past monetary values placed on it in our future. The era of the second industrial revolution is upon us and it 'is' the 3rd world coming into the 21st century at a very rapid rate that is placing great pressure on base metal demand, but it also is the age of new and ever-changing metal technologies, and I personally think Molybdenum will play a very important part in this new era and will be a major component of any base metal bull market.

If one considers that Moly mines may have a new and more secure future than in the past then one should consider that a "primary pure Molybdenum mine" has no sulfides or copper to leach out of the finished product. The Moly when crushed can be floated off by using a simple soap or diesel fuel additive to the floatation tanks or columns and agitated. The Moly particles adhere to the air bubbles and rise to the surface to be collected (skimmed off). This is a very simple, cost efficient and environmentally friendly process. It is generally accepted that in the Moly by-product production of copper mines, it takes 10 lbs. of CU produced to acquire 1lb of Molybdenum. There are few primary Moly mines at present in the world and fewer still coming to future production.

Let us not forget the adage. "If the whole world had the lifestyle, material comfort and luxuries of the western world, we'd need another planet for the supply of natural resources." Because that transformation is coming fast and the resources are finite, the cost of base metals and energy sources is obviously going to get much more expensive as time & world growth progresses. Mankind's demands on base metals in our future will prove historical.

The 2005 Moly price projection - in a survey done by "Ryan's Notes" in a presentation by Alice Agoo, given in Ryan's Notes' 2005 Molybdenum meeting. This survey was taken from 17 end users of Moly & 20 producers (sellers).

The consensus forecast of each group in the survey is the overall average, as are the combined forecasts.

http://www.kitcometals.com/commentaries/Reser/sep122005.html

I agree with what you are saying Papal. Considering that they floated two years ago at 1.25 and since then, they have fast tracked Shorsyke, and bought chebinsk. Also the moly price is several times what it was back then while copper and gold have climbed substantially.

But still, the market does not like them at the moment. If the production or cash flow were to be delayed at this point, then you'd probably see the SP halve from here. But if do live up to their PR, then it would be difficult for the market to argue with real cash flow.

Agreed tallsiii.

A post from konil at afn;

konil - 5 Dec'05 - 18:22 - 242 of 242


rui sa, please refer to page 23 of this report

http://www.eurekamining.co.uk/documents/Archive/Eureka_Report_210605.pdf

the base case sp is 4.57 based on total asset value of $141m, of which shorskoye contributes $48m and there is cash of $8m. Chelyabinsk, Dostyk and Kentau total $85m, with an overall total of $141m. So stripping out $85m will give a base case value of
48(shorskoye) + 8(cash) / 141(includes chelyabinsk et al) * 4.57 = 1.81.

in arriving at these numbers the authors have used a moly price of $20/lb in 2006, $15/lb in 2007 and $10/lb thereafter and a discount rate of 20%.

this compares to a current price c. $35/lb with indications of continuing strong prices. furthermore a discount rate of 20% bears no resemblance to reality (the authors state this is to account for uncertainty over the moly price but they have already used pessimistic figures for this) and even the more normal 10% discount rate is not a realistic figure but is used to account for various risks in mining projects. however, barring some unforseen disaster shorskoye is funded and will be producing in 3 months, not 3 years.

That is an interesting report. All we need to see is some real moly sold to real customers for real money and EKA are likely to acheive the valuations in that report and more. Nevertheless, the risk remains at the moment.

SynFuel, the Petroleum Alternative
Zach Fross
December 7th, 2005

With the coming oil crisis looming directly ahead, there are going to be many opportunities in the energy sector to cash-in. One such opportunity will be alternative petroleum sources such as coal-to-liquid-fuel and natural gas-to-liquid fuel (GTL), otherwise known as synthetic fuel or SynFuel. SynFuel is rapidly becoming a popular alternative to increasingly expensive petroleum.

According to the U.S.E.I.A, the Middle East has an estimated 1.4 trillion cubic feet of untapped natural gas resources. In comparison the U.S. uses approximately 22.4 million cubic feet of natural gas per year. The problem for the Middle East is that it is difficult to get these vast resources to market; there is no existing infrastructure (i.e. pipelines, transport, etc.). With GTL technology, the natural gas is converted to liquid fuel (diesel, naphtha, and kerosene) and then transported to market utilizing existing infrastructure. This enables the Middle East to exploit vast natural gas resources and bring natural gas to market cheaply and efficiently.

The International Energy Agency recently released a report detailing the projected energy demand to grow over 50% by 2030. The estimated dollar amount to bring the energy supply inline with the increasing energy demand is $17 trillion. It is highly unlikely that the funds will be invested in enough time to keep the energy market from reaching supply deficiencies. This means that the price of oil will increase until the increasing demand is met with an increasing supply.

Two progressively more popular petroleum alternatives are coal liquefaction and natural gas-to-liquid fuel; otherwise respectively know as Clean Coal Technology and GTL. Recently, a company called Waste Management and Processors Inc. (WMPI) received government approval along with $100 million in federal funds to build the United States first waste coal liquefaction facility in Pennsylvania. The major technology used in liquefaction and GTL technology is the Fischer-Tropsch (FT) process.

The primary materials used in the FT catalytic conversion process are nickel, cobalt, and molybdenum. The better the catalytic material, the more liquid output obtained from the process. Molybdenum is the best catalyst and is becoming the most widely used. A full-scale SynFuel operation uses several tons of catalytic material per day ! As more and more countries around the globe begin utilizing the FT process to convert coal and natural gas into liquid fuel demand for catalytic material will proportionately increase.

Look for investment opportunities in the catalyst and catalyst materials markets. As new SynFuel plants come online, the demand for materials like molybdenum and cobalt will rise dramatically.


12/07/2005
Zach Fross

Moly is in demand for many things at the moment. As the copper price rises, more mines are likely to be working flat out and will generate more Moly by-product. So there will be more supply, but the increasing demand for moly is likely to outpace. The expected fall off in the price of moly has been widely expected, but so far has failed to materialise. It will be interesting to see if it ever does materialise before the end of this commodity super cycle.

The Times

Rumour of the day

Eureka Mining, the base metals explorer in which Celtic Resources owns 15 per cent, firmed 1p to 107p on AIM amid word that it was close to buying the 49 per cent of Russias Chelyabinsk copper and gold project it does not own. The company, which has an option to buy the stake for $6 million (3.5 million), raised 9 million at 125p in September, in part to fund the purchase.

My understanding was that they were only planning to pay for the other 49% when they completed a successful feasability study. If they have done so, then we could be in for a big lift!

News due soon I think.

Has anyone phoned the company to recently? I am sure that Bartley or Foo might be able to either confirm or dispel rumours that are going around at the moment.

The anti Celtic Resources rumour mill are hitting Foo's VOG and EKA with lots of negative stories, like the one recently on EKA about permits. Now they are having a go at VOG again I see.

A conspiracy going on ?

Anyway, good top up time with the price of EKA now and Molybednum production on line and generating cash in Q1 06.

Major Shareholders

Celtic Resources Holdings PLC 15.02%
Gartmore 5.57%
Henderson Global Investors Ltd 4.18%
JP Morgan 4.18%
RAB Capital 3.83%
RCM 3.11% (Holdings of M James and D Bartley)

Directors
Kevin Alfred Foo 1.923%
David Bartley 1.198%
Malcolm Raymond James 1.151%
Andrzej S Sliwa 0.605%
Jonathan Scott-Barrett 0.177%


Presentation Link

Maybe the person putting out the rumours is topping up also!!

Interesting background story to Moly;

http://www.cozine.com/archive/cc2005/01370511.html

The last 2 trades at mid price look like someone went around the MM's looking for what they would sell off at mid price to allow the MM's drop their holdings down. A positive sign that someone is interested in buying large chunks.

Would really like to know if production is still due for Q1 2006. If I could be sure of that, then i'd probably top up.

tallsiiii...this pup has cost me a few quid!

how are things old boy?

Rgds
PT

Hi Prop, things are good on the whole. The new issue hit this one quite badly. But at the moment there is no reason for it to be 20% below the original float price when they are now in a so much better position than they were then. They have delayed moly production from the Q4 2005 that we had expected, but if they are in line for next quarter, then they are severly underated at the moment.

Moving up now, bid rumours hotting up for the Chelyabinsk license ???

During writing the last post, I managed to talk myself into buying another 10K. So that explains some of the move.

What rumours are about at the moment?

The Times one, stating they were close to buying the remaining percentage of Chelyabinsk so that EKA then holds 100% of it.

This is cut from RNS on 15th June regarding government co-operation:

On 13th January 2005, Eureka announced the acquisition of 51% of the Chelyabinsk
Copper/Gold Project in the southern Urals region of Central Russia and, subject
to the satisfactory conclusion of a feasibility study, the Company has the
exclusive option to acquire 100% of the project.

To me it looks that if the rumour about aquiring the remaining 49% is true, then it is likely that the feasability study has arrived at a positive result.

Production and sale of Moly is now within three months, so January/Feb should see this go significantly higher !

This is the only free graph I know of, its small though, but you can see the price is still well above 19$ and demand will cut in late Jan/Feb again to boost the price, so on that score its looking very good.



and from the company on Moly cash generation targets for first year (Q1 06 to Q1 07);

The Company has used a molybdenum price of US$19/lb throughout the first year and US$12/lb thereafter to calculate cash flows arising from the project.

Once Moly is being delivered the cash flow from this will give EKA a very low PER ratio going forward, so this alone is one area where there is massive upside to come.

Excellent write up and full blown buy rating from the IC just released.

Also house broker Ambrian says Moly at 20$ should generate for EKA cash flow of 21.8m $ in 2006 and Ambrian has a price target of 175p.

Should be blue today with the IC tip.

The article also says EKA "vehemently denies" the rumours of troubles with the Chelyabinsk license.

Cheers Papal, piled in for a load more this morning at 94/95. I pretty confident that that was the bottom. Worth getting out of bed for!

Am suprised that they set the target at 175p as that would still leave the co. on a PE of under 3. Cash generating with massive potential in Chelyabinsk. And as for the Moly price, looking at the historical chart it seems that it followed the last commodities boom to its peak in 79/80. There may still be more upside to come for moly!

Going well today, taking into account delayed trade reporting, its 6500 sells and all the rest are buys.

IC has recommended this as a buy today. This has helped it move up in early trades

Yes g64946, it has.

tallsiii, I think the Ambrian note is quite old and conservative, they will surely put out a new one once we get the January (hope so) news on Chelyabinsk. Once actual cash generation starts and we know the trading range for Moly (which should be higher in Feb/March) then the targets will be raised again I think.

My target is over 200p come end of 2006 !

Yes I can assure you that the two big sells were actually buys. Tempting to close today with a 2.5k profit, but am going to be in this one for a while. Positive news on Chelyabinsk and confirmation of cash flow could finally get the co. recognized.

That will be the key, the moment that Moly is sold and cash is coming in (at 3m $ a month please note when its in full swing around Q3 onwards) then EKA changes in the eyes of the big boys, and its a case of waiting to see now at what point they want to join in, or those already in, increase their holdings.

21.8m US$ in 2006 and Moly staying at 20$ then 36m US$ in 2007.

And thats just Moly and Shorskoye

Up all the way to the close there tallsiii.

Looks good for a strong January, the fuse has been lit by The Times rumour and The IC BUY rating, now it just needs Kevin Foo to throw the petrol on with a news announcement early January, and it will be on fire.

News this week or next tallsiii ?? Hope so, but anytime Jan would be fine.

The Ambrian old price target of 175p should be a distant memory by year end if everything goes to plan.

Thanks to a post on AFN you can have a read from this copy;


StanFParker - 2 Jan'06 - 13:00 - 325 of 326
Part of Investers Chronicle buy tip for EKA (www.investorschronicle.co.uk)

30 December 2005
EUREKA MINING (EKA)
This year, Eureka has made great strides with its two projects in the former Soviet Union. Chief executive David Bartley swung a peach of a deal with a local uranium company, KazAtomProm,
in Kazakhstan earlier in the year: Eureka has divested 50 per cent of its Shorskoye molybdenum project in return for access to production facilities. And resources estimates at its Chelyabinsk project are looking good.
The key to the Shorskoye deal is the molybdenum price, which has been hovering above $30 a pound for most of 2005, but is likely to weaken. Eureka has used a $20 short-term molybdenum price in its modelling, but if full-scale production gets under way in the early
months of 2006 it should be able to secure sales at the current sky-high prices.
Even using a $20 molybdenum price, broker Ambrian estimates that Shorskoye should generate cash flow of $21.8m (12.4m) in 2006. At the current price, Eureka is looking at cash flow of $3m a month. So the company won't be saddled with large debt finance costs, and will therefore be able to use its $14m cash pile to leverage the Chelyabinsk copper-gold project in Russia, acquired in January 2005.
Chelyabinsk is at an earlier stage than Shorskoye, but with a new resource estimate of 1.66m tonnes of copper and 2.8m ounces of gold verified by independent industry consultant Snowden, it's showing real potential. A scoping study is to start in the next few weeks.
But the shares haven't performed well this year as Mr Bartley has spent most of his time abroad, unable to reassure markets spooked by Eureka's association with Celtic Resources. There have also been stories circulating in the press - vehemently denied by Eureka - that the Chelyabinsk licence isn't secure. That sort of story is all in the nature of doing business in Russia, though, and with big-hitters such as Gerard Holden of Barclays and Joe Nally of Cenkos behind it, Eureka stands as good a chance as any of weathering the storm. Ambrian sets a target price of 175p. BUY

Net cash: $14m
Market makers: 6
Normal market size: 2,000

BULL POINTS
Full-scale molybdenum production is imminent
Attractive assets
Well-funded and backed

Good to see some blue today, this could be the start of a long run of mostly blue into that first production and sales of Molybdenum in a couple of months time.

Yes, can't seeing getting below a pound again now... barring a disaster.

I just hope that Kevin has some good news for us this week or next, that should take us past the 150p barrier with good news on Chelyabinsk some time this month.

The other thing is that the start of year weakness in Moly should go later this month or Feb and the price will shoot up again just before EKA starts selling. The outlook for Moly long term is a much higher price and here is just one example why.


SynFuel, the Petroleum Alternative
Zach Fross
December 7th, 2005

With the coming oil crisis looming directly ahead, there are going to be many opportunities in the energy sector to cash-in. One such opportunity will be alternative petroleum sources such as coal-to-liquid-fuel and natural gas-to-liquid fuel (GTL), otherwise known as synthetic fuel or SynFuel. SynFuel is rapidly becoming a popular alternative to increasingly expensive petroleum.

According to the U.S.E.I.A, the Middle East has an estimated 1.4 trillion cubic feet of untapped natural gas resources. In comparison the U.S. uses approximately 22.4 million cubic feet of natural gas per year. The problem for the Middle East is that it is difficult to get these vast resources to market; there is no existing infrastructure (i.e. pipelines, transport, etc.). With GTL technology, the natural gas is converted to liquid fuel (diesel, naphtha, and kerosene) and then transported to market utilizing existing infrastructure. This enables the Middle East to exploit vast natural gas resources and bring natural gas to market cheaply and efficiently.

The International Energy Agency recently released a report detailing the projected energy demand to grow over 50% by 2030. The estimated dollar amount to bring the energy supply inline with the increasing energy demand is $17 trillion. It is highly unlikely that the funds will be invested in enough time to keep the energy market from reaching supply deficiencies. This means that the price of oil will increase until the increasing demand is met with an increasing supply.

Two progressively more popular petroleum alternatives are coal liquefaction and natural gas-to-liquid fuel; otherwise respectively know as Clean Coal Technology and GTL. Recently, a company called Waste Management and Processors Inc. (WMPI) received government approval along with $100 million in federal funds to build the United States first waste coal liquefaction facility in Pennsylvania. The major technology used in liquefaction and GTL technology is the Fischer-Tropsch (FT) process.

The primary materials used in the FT catalytic conversion process are nickel, cobalt, and molybdenum. The better the catalytic material, the more liquid output obtained from the process. Molybdenum is the best catalyst and is becoming the most widely used. A full-scale SynFuel operation uses several tons of catalytic material per day ! As more and more countries around the globe begin utilizing the FT process to convert coal and natural gas into liquid fuel demand for catalytic material will proportionately increase.

Look for investment opportunities in the catalyst and catalyst materials markets. As new SynFuel plants come online, the demand for materials like molybdenum and cobalt will rise dramatically.


12/07/2005
Zach Fross

Well if Eureka has had a Celtic Resources shadow cast over it and dragging it down, then things will soon look better I think. Simon Cawkwell hears things will soon be all ok for Celtic and is backing our beloved Kevin Foo (All in his latest diary entry at www.t1ps.com)

This could mean a nice big news item coming for Eureka as well, now are we expecting some licencing news at EKA this month ??

I have highlighted a very relevent part of this news report, apart from the excellent prospects of Moly the bit about Chinese Traders stockpiling Moly for Q4 05, this caused the price to spike up, and is now causing a spike down from late Q4 05 into Q1 06, by Feb/Mar if not before the price will start to go up as these stockpiles are used up and these traders start to buy again I think.



http://www.gold-eagle.com/editorials_05/reser092205.html

MOLYBDENUM
The Big Secret

Ken Reser, Sept. 21/05

Subsequent to my previous report, "Molybdenum The 21st Century Metal" www.adanacmoly.com/articles/Moly_21st_Century_Metal-180KB.pdf I have done further extensive research for information on current and future uses of Molybdenum. This has been an undertaking of continual frustration & magnitude due to lack of mainstream information on this Noble Metal. Outside of the continual references to Molybdenum being used in stainless steel and other specialty metal alloys, fertilizers, lubricants and all the other uses I previously outlined in the 321 report (some of which are not reported in mainstream media) I have found what I consider the 'Big Secret' in regard to Molybdenum.

This so called secret involves considering that few people in the mining industry pay much attention to the Catalyst market for Molybdenum, if any at all. It is considered a small portion of the overall world demand in any charts, graphs or articles one may see and read. This is not the case as I see it from all of my own research. Consider why, when so many pundits and experts have continually called for the same dramatic and rapid decline in Molybdenum prices as we have seen in past when it spiked in price, that it has confounded all the predictions and has remained high for months on-end, all the while outliving those same wrongful predications. Today I believe there are little known, but yet profound changes afoot in the world of energy due to scientific discoveries in catalyst research that are outside the scope of most mainstream reports and articles on Molybdenum, and they are so dramatic and exciting that soon the entire Oil industry will soon be in shock. These changes being brought about by the new discoveries in the catalyst sciences involve coal, plastics and even used tires. The energy field I'm speaking of is 'Liquefaction'. In the 1950's and even earlier, Coal Liquefaction to produce fuel oils was known and studied in the USA, Germany, Japan and S Africa among others. Japan in 1940 produced 30,000 T of liquefied coal oil. Production continued until the end of WW2. Immediately after the end of the war the US military banned further research into coal liquefaction, alleging that it was military research. The process was costly and compared to the price of a barrel of Oil, not yet feasible. It has been stated that for Coal Liquefaction to be cost efficient and profitable, a barrel of crude must sell for $32.00. The Japanese have published reports stating $20.00 p/barrel. The better the catalyst functions, the higher the liquid yield rate becomes. Through international cooperation coal liquefaction has gone from the research stage to commercialization in Japan. Today China, Japan, Germany, Indonesia, & the USA have all embarked on projects with coal liquefaction. Before I continue with this discussion on the Liquefaction process tho, I would like to dwell on crude oil for a moment.

Today thanks to the scientific study of new age band catalysts, and Molybdenum Oxide, Nickel, Iron, Carbon & Cobalt compounds in particular, we now have catalysts that are helping refiners meet the stringent EPA & EEU pollution emission standards recently established. Sulfur is the culprit and the enemy of clean air and consequently due to the 2005 EPA standards (Diesel sulfur content has gone from 300 ppm to 50 ppm) the demand for refinery & hydro-cracking catalyst is going to increase dramatically. There is also another factor at work when considering the crude refinery catalyst demand.

For the last 20 to 30 years very few refineries have been built worldwide, and none in the USA. As I write this I'm reading of Venezuela building three new refineries and expanding two existing ones. China in a JV with its own Sinopec and Saudi Aramco & ExxonMobil have begun building their multi-billion-dollar refinery and petrochemical complex in China's Fujian province. Meanwhile a JV between Borealis & Abu Dhabi National Oil Co. is advancing another ethylene cracking facility in Abu Dhabi. One should be able to see the picture unfolding, "More Refineries" to come and most likely in Europe, Canada and the USA first. Other nations will invariably follow suit in this age of peak oil and rapidly increasing demand from developing nations like China, India, Brazil & SE Asia etc coupled with growth in the western world. The more refineries and hydro-cracking facilities in operation obviously mean's more Molybdenum catalyst demand. With less sweet crude now available and more sour heavy crude & Tar Sands Oil that has to be refined, it is going to mean a great increase in catalyst demand.

Next is the new looming production and market for (NG) Gas To Liquids Fuels (GTL). This market is fast becoming a reality and will invariably become a robust market for catalysts as well. GTL plants use catalysts of Cobalt/Iron/Molybdenum in the processes. Each GTL plant according to Bill Bell VP of Methanol & GTL Technology & Catalysts at Johnson Matthey "With GTL ready for ascension a big market for catalysts is now emerging & we are looking at thousands of tons plus of catalyst as inventory in a single plant". GTL plants (in 2003) are being considered in almost every corner of the globe that has reserves of NG, especially in areas like the Middle East where there is little local market for it & there are no pipelines to market NG. GTL converts natural gas (NG) into an easily exported liquid form. Shell in 2003 had a plant in operation in Malaysia & pursuing another in Qatar, as is Sasol Chevron. Chevron is also considering other plants in Nigeria, Australia & Caribbean. Exxon-Mobil is also interested in Qatar and Syntroleum is looking at Bolivian gas fields. BP is experimenting with a test plant in Alaska. (As this info on the GTL market is from 2003 I have no idea which projects may now be completed) So now I have outlined another little spoken of and upcoming demand on Molybdenum. The refinery demand for catalysts is already in the Billions of dollars and the worldwide demand for all the different combined types of catalyst uses in 2003 was approximately $7.5 Billion according to published reports.

According to a Roskill Metals report on catalysts (30/10/03) based on the steel industry states, Molybdenum demand has been growing at 2-4% p/a and in hydro-processing catalyst sector by 3-5% p/a. I believe now with higher emissions standards these latter catalyst demand percentages are now much higher if the truth be known. Also w/o going into detail for the sake of brevity in this report I will only touch on the fact that a Molybdenum/Ruthenium catalyst has been developed by Hitachi and other companies for a low cost Fuel Cell. We do know fuel cells will appear in cars, homes & industry in the near future. Washington State University (WSU) research teams have discovered an improved method of converting hydrocarbons (such as methane) into hydrogen and carbon dioxide using Molybdenum Carbide (Mo2C) as a catalyst. This conversion is an important step in fuel cell systems and processes that convert natural gas (NG) into useful petrochemicals. This patent is pending.

On another front Osiris in France and others involved in the world nuclear industry are testing a Uranium/Molybdenum enriched fuel for Nuclear reactors worldwide. This fuel will do away with using weapons grade Uranium in reactors and once perfected will be used throughout the world. The cost savings from low enriched fuel as opposed to the current highly enriched fuel is substantial as well.

Now lastly before I return to the Coal Liquefaction aspect that gave inspiration for this report, you should realize that the global demand for Molybdenum rose by 7.2% in 2004 to 374 million lbs from 349 m/lbs in 2003 as outlined in a study commissioned by International Molybdenum PLC and performed by CRU Strategies Ltd. mining consultants. Further CRU states that conservatively Molybdenum demand thru 2009 will grow by 3.5% to 4.1% p/a and the projected demand will be up to 475 million lbs in the same year. They also (CRU) project a deficit in Molybdenum production in 2008 and as much as a 14 million lb deficit in 2009. The theory of the world entering a "Super Commodities Cycle" is supported by recent reports by Citigroup-Smith Barney (China - The Engine of a Commodities Cycle, March 31 /05) and Goldman Sachs (Metals & Mining March 21 /05) and US Energy (Oil March 30/05) and along with the likes of the renowned Jim Rogers I believe this super cycle in finite resources is well underway and will last for many, many years to come.

The mining industry has been slow in responding to current growth in Molybdenum demand and low inventories. Several new projects, both primary and by-product have been promoted in recent months. Given the need for financing and environmental studies it is questionable if any or most of these projects will be producing by 2009. One or two projects seem to have the thrust, reserves and capability to achieve production in 2007/08 nonetheless. As another aside to the focus of this report it is also noteworthy to mention that a memo from the US Army Research Office: Research For Toxic Compound Destruction, states that the University of Pittsburg has shown that Molybdenum, in the presence of oxygen, is a true catalyst for destruction of nerve gas stimulant. A patent has been awarded on this work.

Now back to the Liquefacton portion of this report. The China Daily News online on the 03/12/2004 carried an interesting article on China's liquefaction projects. They stated in part that China has set up its first coal liquefaction research centre in Shanghai, a move to safeguard the nation's increasing oil supply shortage. The centre will explore and develop direct and indirect liquefaction technologies to produce gasoline & diesel fuel.

Shenhua Corp. one of China's largest coal companies w/ an 80% interest in this centre, has almost completed construction of a US $3.3 billion coal liquefaction plant in Inner Mongolia. Operations of this plant are expected to commence in 2005 to produce 1 million tons of gasoline and diesel fuel p/yr. By 2008 they expect to produce 5 million tons of oil with four more production lines. The second phase of the project will involve an additional investment of US $7.3 billion. Plans for two more coal to oil projects are on the shelf.

In another article by People's Daily news of Jan. 24/05 it is stated that by 2013, 10% of oil imports to China will have been replaced by coal liquefaction. The article also states that international indicators show that the process is profitable at between $22.00 to $28.00 US p/barrel and that the National Reform and Development Commission is considering making coal liquefaction one of China's key construction projects this year.

The other aspect of this trend towards liquefaction is the use of recycled tires and plastics in the process. The plastics alone it is estimated comprise approximately 21% by volume of US landfill sites. There is obviously no need to mention the quantities of used tires in the world. The process for the liquefaction involving tires & plastic is called Co-Processing and is achieved by combining feed-stocks of coal with the other two products simultaneously.

Without going into a long scientific and technical overview of the coal liquefaction & the co-processing technologies it is important to realize that the present success and feasibility of coal liquefaction is hinged on the recent perfection of an Iron/Molybdenum catalyst used in the de-sulfurization portion of the process. Soon you will be reading about another new scientific field concerning Molybdenum & Nano-Particle Technology. After all I have written about here in this report, it is my estimation and firm belief that we are now witnessing a historic time in the new expanding uses and demands on Molybdenum in the ever changing world of the Catalyst & Alloy Metals markets and those changes/discoveries are becoming more intense as time passes. To this end I believe now more than ever that,

"MOLYBDENUM IS THE METAL OF THE 21ST CENTURY"

(Post Script Notes) This report is not intended to infer that there is some conspiracy of silence afoot in the Molybdenum or Catalysts markets. In the title 'The Big Secret' simply refers to the seeming secrecy in the catalyst markets and to the lack of mainstream attention paid by mining media to Molybdenum.

Remember Molybdenum IS the biggest percentage dollar gainer of ANY metal in the last 18 months, and we hear little but negativity from media and mining websites.

Over the last few days I have read of Chinese Molybdenum traders stockpiling product for the end quarter of 2005 in order to have supply.

Sept 2/05 a London Mining article stated this in part- "Prices of Mo alloys all rose on Friday as buyers in search of large quantities found that the tightness of supply that had characterized the market in the early part of the year has not lifted." End

Yes there is a bottleneck in Roasting facilities and it is having some effect on Mo price, but why is there a bottleneck? Because demand is outstripping world roasting facilities. Quite simple really! With 5-7% more demand projected by various industry participants, I'd say they better get busy building a lot more roasters, and bringing new Primary Molybdenum Mines in the world onstream or we may see $50.00 p/lb Moly in future.

China's Metals Info Network, ANTAIKE on Aug 19/05 says new overseas roasting facilities will not be operational until after 2007.

Albemarle Catalysts of Louisianna who use approximately 10 million lbs of Molybdenum p/a, stated in a recent report- "We expect a 5% yearly growth rate in certain catalyst sectors" and so with the peak oil events facing the world and new refineries coming onstream (in Saudi Arabia & China) and expecting two more refineries in China as well as others around the globe, Tar Sands Oil, Coal Liquefaction, drilling exploration coupled with drill steel use & pipelines etc, the demand for Molybdenum & Cracking catalyst should continue to grow as will the specialty steel demand. Molybdenum has gained a new place of stature in the world's insatiable demand for noble metals.

New Update: According to the latest report from BCC Inc. Research, www.bccresearch.com/environ/C166R.html they estimate that by 2009 the market for Environmetal and Energy related Catalysts will grow by an average of 12.8% P/Yr. This is far beyond previous industry estimates I have outlined. Molybdenum it would seem has a bright future indeed.

If anyone has information on the Molybdenum markets they wish to share or would like to follow any of the Jr companies I represent please feel free to phone or email me anytime.


Ken Reser
Email: ykgold@telus.net
Ph: 403-844-2914

Just jumped up quickly, will we be getting news soon ?

Here is what the papers said earlier, they said it was close at the 21st Dec, so it could well be all done and signed now ;


"The Times 21st Dec 2005

Rumour of the day

Eureka Mining, the base metals explorer in which Celtic Resources owns 15 per cent, firmed 1p to 107p on AIM amid word that it was close to buying the 49 per cent of Russias Chelyabinsk copper and gold project it does not own. The company, which has an option to buy the stake for $6 million (3.5 million), raised 9 million at 125p in September, in part to fund the purchase. "


"The Times 6th Dec 2005

Further news:
*Wind taken out of sails of renewable energy project.
*Word that Eureka Mining (LSE: EKA.L - news) is close to buying the 49% of Russia's Chelyabinsk copper and gold project it does not own.
*US investor drawn to jewel in London Scottish Bank (LSE: LSB.L - news) 's crown."

tallsiii, keep your ear to the ground, rumours are that the Chelyabinsk deal is done, but its only rumour at the moment. I am hoping its confirmed and we get news this week.

Could be moving up again this afternoon, just swapped on L2 1 v 3 to now 3 v 1

PapalPower:-

Many thanks for all your endevours on providing info on this co, and the marketplace

In here last week - like the fact the shares bottomed out with the overall outlook
if rumours are true with regard to Chelyabinsk this has plenty of gas in the tank - just like VOG!

rwakeley, here should be no problem with returning to the recent placing price of 125p with or without any news. The target from Ambrian based on Moly is 175p, but if we got news of Chelyabinsk being 100% EKA, then I would see no problem being over 200p and in the range of 225p to 250p.

I think we have news coming, maybe in a day or a fortnight, will have to wait and see, but the movement today just after midday suggests news flow imminent.

If anyone hears anything from Foo or Bartley, then let us know.

tallsiii, I am hoping they tell us all first by a nice juicy operational update RNS.

Strong move up this morning, a shake down with some consolidation, makes a good base point for news to come. Tomorrow or Thursday ? I do hope so.

Looks like whoever took the 35K recently at 98p took profits today at 116p, well done. Hope they will be back in for news, before is best :) Bit of a problem if news is tomorrow, but thats the gamble people take when trading, some times you win, some times you miss out.

A solid day in the end, up, consolidation, then finish level. Roll on news.

Nice to see a move up, interesting shake before the move up and lots of B trades reported late from yesterday.

And moving up some more, this to me signals there is some good news around, just depends if it comes out this week, next week or not long after.

A good day again !



Any chance you can put the 6 month and intraday charts in the header tallsiii ?

Moving up again and momentum building in, could get very exciting on good news now.

Looking strong again for another tick up today, its on a roll...........

Consolidation at the end of a good week, lets have some more upwards again for next week then :)

A small summary as to why things are getting exciting now, just in case any newbies are wondering, its due to Q1 06 Moly concentrate production, the story is below ;


On August 20, 2005 President of the Republic of Kazakhstan Nursultan azarbayev visited Stepnogorsk town. In the course of the visit the Head of State had discussions with Moukhtar Dzhakishev, President of Kazatomprom, and Eshmurat Pirmatov, General Director of Stepnogorsk Mining and Chemical Complex (SMCC).

In September 2004 Kazatomprom took over the SMCCs hydrometallurgical plant, sulphuric acid production, and uranium mine No.1 in Shantobe, as well as their auxiliary facilities on trust management terms. The takeover resulted in quick restart of major production lines and ensured full capacity operations, which provided jobs and paid salary to more than 2900 employees.

Moukhtar Dzhakishev reported to the Head of State of the facilitys current status and development strategy through year 2010.

The Head of States approved the plans on SMCC development and particularly noted the importance of molybdenum production being established in Kazakhstan; he wished the SMCC staff success in implementation of its plans, which will improve the living standards of population in Steptogorsk town.

One sixth of the world explored reserves of molybdenum (249,000 tons) is located in Kazakhstan. Yet, there was no molybdenum production before. Molybdenum is widely used to produce special steel grades and as catalyst in oil-refining industry.

Based on the research by Kazatomprom and SMCC under Mr. Pirmatovs guidance, a unique technological scheme of obtaining molybdenum oxide was successfully tested at SMCC, and produced its first output of molybdenum oxide to the visit by the Head of State to Stepnogorsk. Laboratory tests proved the product conformity to international quality standards.

The facility will undertake three-month construction of enrichment facility for one million tons of molybdenum ore per year, and installation of commercial scale equipment to produce 1000 tons molybdenum oxide per year starting from 2006.

The molybdenum raw material will be supplied from Shorskoye deposit (21,000 ton reserves) by Molyken LLP joint venture between SMCC/Kazatomprom and British Eurika Mining. In addition, Kyzyltu and Seletinsk copper-molybdenum deposits are deemed to be future raw material feed sources.

In accordance with Kazatomprom program, more than USD$180mln will be invested between 2005 and 2007 in development of the complex to ensure efficient production in the long run.




Implementation and schedule

Utilising the Stepnogorsk processing facility allows Eureka to develop the Shorskoye asset and take advantage of the buoyant molybdenum market, commencing mining in Q3 05 and saleable concentrate by Q1 06. The key project milestones
are:

August 2005 - award contracts
August 2005 - first blast and ore to crusher
September 2005 - first ore to Stepnogorsk
October 2005 - first equipment to Stepnogorsk
January 2006 - concentrator commissioning
February 2006 - first concentrate

That's an excellent summary PP, VMT

silvermede it helps to understand whats happening, and also all project milestones have been met so far, lets hope they keep on track with the last 2 (or is it last one now :) )

This is good news if it comes out true to forecast as EKA have averaged year one Moly at 19$ (April 06 to March 07) and year 2 Moly at 12$ (April 07 to March 08) so if we keep an average of 20$ into 2008, big upside for EKA plans :)




http://metalsplace.com/metalsnews/?a=3636


Just where is moly going?

Early forecasts for molybdenum suggested the same $32/lb this year as last, but that may be too high a projection. Already this month, transaction prices have slipped to $23 and Citigroup analyst John Hill suggests "some further price erosion" ahead.

ResourceInvestor.com says that "the molybdenum market is one of the most opaque in the world, making good pricing, and supply/demand information very hard to come by."

Moly doubled in price from $16/lb in 2004 to $32 in 2005, largely because of the explosion in co-product copper. Prior to that, the highest annual average for moly was about $7.50 in 1995.

Still, it appears that buyers may have been caught unawares by the recent series of monthly-average price drops off a peak of $37 in June.

Most analysts agree there's a lot of molybdenum ore in the world these days for the mineral, used to strengthen steel and certain superalloys, that is mined along with copper.

According to the International Molybdenum Association, world reserves are 12 million metric tons.

The U.S. Geological Survey estimates it as higher at some 19 million metric tons, attributing a substantial amount to China.

"Either way, there is probably more than one hundred years of current demand already identified," says ResourceInvestor.com.

Still, there's a big difference between ore in the ground and metal that has been mined, processed, smelted and refined. Hill points to a long history of "production and sales shortfalls" for molybdenum that tend to keep prices from rising or falling too rapidly. That's why miners such as Adanac Moly of Canada are only willing to forecast moly prices averaging $20 in 2008.

This report might help. its from June 05 but you can see the valuations :

1/ Present case 330p to 380p range when remaining Chelyabinsk license is purchased and with Moly at 20$ average in 2006.

2/ Present case 200p to 240p range without the remaining Chelyabinsk license percentage and Moly at 20$ average in 2006 (WHERE WE ARE NOW)

3/ Future with Moly from Shorskoye and Copper from Chelyabinsk then around 550p per share :)


The report link is below, PDF file :

http://www.fox-davies.com/FDC_Eureka_Report_220605.pdf

Has to be good news for Eureka, the Moly required for the steel to make this pipeline will increase demand. And, Eureka can supply Moly by road transport, a short distance to China, meaning they can supply with much cheaper delivery charges, meaning they should win more orders !

http://www.chinadaily.com.cn/english/doc/2006-01/19/content_513590.htm

"PetroChina to build two oil pipelines
By Wang Ying (China Daily)
Updated: 2006-01-19 06:45"

http://www.minesite.com/storyFull5.php?storySeq=3265

Feature Story Date: January 26, 2006

Eureka Mining Moving Fast At Both Chelyabinsk And Shorskoye.

By Jack Hammer

What with recurring illness and deal-making across central Asia, Eureka Mining chief executive David Bartley didnt have much time to stay in touch with the City last year, except when he was announcing big deals. But although the newsflow was sometimes a bit thin, those long hard hours on the road are beginning to pay off. Eureka is shaping up nicely full scale mining on the fifty per cent owned Shorksoye molybdenum project in Kazakhstan is imminent, and a pre-feasibility on the Chelyabinsk copper project in Russia is underway.

So, late in December Mr Bartley promised to pay more attention to the deskbound folk in London, to be around more, and to provide regular updates. He was off alcohol back then, on account of his recurring bouts of malaria, putting him for the time being - and somewhat unusually - on a level with Joe Nally, the mining money-man at Cenkos who is a close ally, and who has given up the booze for January. But some resolutions are harder to keep than others - David Bartley is not currently in town, and nor is he in touch. One mining analyst is under the impression that hes lying in hospital in Australia with another attack of malaria, but a PR for Eureka eventually establishes that hes in Moscow so, sorry, can I get back to you in two weeks?

Fair enough its not so long since Mr Bartley visited London to update press and investors. But he also spent a fair bit of time on that visit moaning about weakness in Eurekas share price. There are moves afoot to rectify that weakness from the broking angle, but if Mr Bartley wants the shares to firm up someone needs to be here pushing the story full time.

Its not clear either what exactly Mr Bartley is doing in Russia. With any luck though, its something to do with the pre-feasibility study on Chelyabinsk, which is due to be delivered in the first quarter of this year.

Chelyabinsk is a copper-gold project with a total resource 687 million tonnes at 0.7 % copper equivalent in the Russian C1 and C2 categories. Those numbers are derived from three deposits within Chelyabinsk, and a JORC calculation has been made and verified by Snowden - for Miheevskjoye, the largest. It shows 405 million tonnes at average grades of 0.4 % copper and 0.22 g/t gold in the inferred category. Its not world class, says Richard Chase, who continues to provide analysis for broker Ambrian, in spite of a recent move up the foodchain there, but its not bad either. It should be cheaper to develop than Montericcos bigger Rio Blanco project in Peru for example.

Last year Eureka signed up Barclays Capital to act as advisor on financing. Barclays chief Gerard Holden went out to take a look for himself, was favourably impressed, and on current plans could be looking to put the finance in place before the year is out. Post tax, assuming 60 per cent debt finance, and on a 15 per cent discount, Ambrians Mr Chase values Chelyabinsk at US$105 million. This isnt going to be a 200 million company, he says, before adding, with one eye on future developments, at least not on these assets.

Eureka is not a one trick pony, however. In the summer David Bartley pulled off a deal in which the company gave up 50 per cent of Shorskoye in exchange for access to the plant and processing facilities of local operator Kazatomprom. Thats a lot of a project to give away, but the point was to get producing fast. Molybdenum wont stay above US$30/lb forever the long-term average is below US$10/lb. Ambrians Richard Chase says: I wouldnt be surprised if Shorskoye is all done and dusted in three years. But over those three years he forecasts nearly US$45 million in net cash flow, assuming a (currently) conservative US$20/lb molybdenum price. Those are reasonable numbers, and should sustain Mr Bartley nicely on his travels, as he works up other early stage exploration assets and hunts down more deals.

Companies featured in this Story Eureka Mining Plc (AIM-EKA)

And there is that first step , roll on the news in the coming weeks :)

Eureka Mining PLC
27 January 2006

Eureka Mining Plc ('Eureka')
Change of Adviser

The Board of Eureka has appointed Cenkos Securities Limited as its Nominated
Adviser and Broker and Ambrian Partners Limited as a joint Broker with immediate
effect.

Enquiries

David Bartley, Eureka Mining Plc - 020 7921 8810
Nicholas Wells, Cenkos Securities Limited - 020 7397 8920
Emma Priestley, Ambrian Partners Ltd - 020 7776 6465

A return of buyers today, I think they might be well timed.

I want news on the BFS for Chelyabinsk asap, as it looks like a very good time is approaching for copper, if Chelyabinsk is producing in 2008, it will be perfect timing to catch the wave maybe.


Extract from Jan 06 report on copper (from http://www.miningnews.net) :


"Meantime a report early this month by UBS Warburg will have seen miners lighting up cigars and breaking open crates of the finest malt whiskey.

UBS said there were "strong similarities" between the positive fundamentals for oil and copper, including:

- Decline in reserve quality, and cost inflation
- Chinese demand
- Energy link (Electrical power requirements are growing, and the potential for increased copper use in hybrid autos is being driven by high energy values)
- Fund money
- Bottlenecks (Refining in oil, smelters in copper)
- Corporate perception M&A activity (It appears that both oil and copper companies remain unconvinced that high prices are here to stay; a consequence is conservatism on capital spending delaying the supply response. Even so, competition for operating assets remains heated)
- Elastic demand response to high prices (Consumers of both products looking at substitution)
- Focus on inventories

"While the similarities between the two commodities are quite striking, we believe that an argument could be made that copper fundamentals are superior," UBS said.

"A key difference between the two is supply reaction; a new copper mine takes a least two years to build and much longer to find; an oil well takes less than a year to bring to production.

"Furthermore, the copper market has no OPEC to satisfy unexpected demand when it arises."

All of which begs the question, is this copper nirvana?"

Extract from an 18th Jan The Australian report :


"A year ago copper was forecast to average $US1.23 a pound but came in at $US1.66 a pound. The red metal is now at a record high around $US2.15.

In a report from London last week, Credit Suisse First Boston warned that the market could be seriously underestimating the strength of the metal price outlook.

According to CSFB's scenario, mining executives remain scarred by past busts and are too focused on value, so they are reluctant to commit themselves to new mines, the costs of which have jumped 20-50 per cent in the past five years. That means supply simply won't ramp up quickly enough and the market is in for further metal price spikes in the next two years.

CSFB estimates that in metals such as copper, zinc, nickel and aluminium new supply won't be enough to cover demand growth of 3 per cent.

"Mining executives today are too focused on returns and aren't incentivised to take risk to build new mines or smelters. Share buybacks and mergers and acquisitions are a lower-risk strategy than developing a mine with four-year lead times and the uncertainty of where prices will be once the project is finished," it says.

CSFB says that while Rio Tinto and BHP Billiton are pulling out all stops to expand iron ore production following a 71 per cent price leap last year, growth plans are generally characterised by smaller brownfield expansions rather than large new projects.

CSFB estimates that for a new copper mine to earn a 20 per cent return, it needs a long-term price of about $US1.50 a pound, up from current thinking of US90c a pound.

CSFB sees copper prices averaging a whopping $US2.30 a pound this year.

The wide range in forecasts makes it tough for investors. Diversified majors such as BHP and Rio Tinto are trading at 10-11 times earnings, which is approaching the high side, if commodity prices are peaking. But if you plug in spot prices, they are trading closer to an attractive 8 times earnings.

According to UBS, the sector's quarterly reporting season, which kicks off with Rio's production report, could trigger a fall in prices if the reports highlight continued cost pressures.

But it says any fall should be seen as a buying opportunity. "Whereas we believe the market is lagging on updating for rising costs, we believe it is also lagging on upgrading for higher commodity prices," UBS says. "

Nice to see EKA make a solid move upwards today :)

Some decent buying again this morning, strength building and news should explode her....... :)

Another big T just gone through, this is looking up now, keep it up whoever it is who is buying the big lumps :)

Papalpower, did u get a chance to look at UEP?

Yes, and put a note on the UEP thread. Here is hoping we get some more solid buying at EKA tomorrow, something is happening now and lets have some more of it.

Good info from an AFN post;

unionhall - 1 Feb'06 - 15:03 -

Meanwhile, Phelps Dodge Senior Vice President for Marketing Arthur Miele Tuesday forecast a $2 per pound copper price during the first quarter, along with a 3.5%-4% growth in copper consumption this year. He also predicted an $18 to $25 per pound average molybdenum price during 2006 with a first-quarter average price of $22/lb.

A really explosive formula building, BFS done on Chelyabinsk ? License conformation on Chelyabinsk ? Moly production a go ?, if they all come in then prepare for a shoot through 200p, risk yes, but big rewards very much possible with that risk.



unionhall - 1 Feb'06 - 15:21 -

I understand Shorskoye production mid-April.

Stockpiled ore from mining confirms required grades.

All equipment in country following delay at customs. Clear for takeoff.

Trying to force final positive confirmation re Chelyabinsk while work continues on site.

Latest news we have from unionhall is :

David Bartley was in Russia beginning of week trying to finalise Chelyabinsk.

In all day meeting in London today.

Back in Russia next Monday and Tuesday.

Todays rise, two things could be happening, either CER is now increasing their EKA stake with the money they have after the Gold Mine sale, or the Gold Mine sale by CER has paved the way for EKA to get Chelyabinsk sorted out and 100% owned. We might be getting news next week, keep a close watch on it, something is surely happening I think, and we might get to now it soon.

New thread started for the next phase of EKA progress, at link below

http://www.moneyam.com/InvestorsRoom/posts.php?tid=9428