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

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




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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.