Epic : CDN

Web Site : http://www.caledonresources.com

Broker Note 1st Aug 2007 : http://www.caledonresources.com/Images/FileManager/192.pdf


About Caledon: Caledon is quoted on the London AIM market (Ticker: CDN). In 2006, the Company acquired two Australian coal projects; the Cook mine and the Minyango coal project, both situated in the Bowen Basin, Queensland. The Cook mine is host to a mineable reserve of 17 Mt of coking and thermal coal with a 10 year mine plan. On 21 March 2007, Caledon announced commencement of production at the Cook mine with targeted output to reach a 100,000 tonnes per month rate by the end of 2007 and 1.5 million tonnes per annum in 2008. On 14 March 2007, the neighbouring Minyango project resource was brought to a JORC standard of 240 million tonnes which was an increase of 17% on original estimates. Caledons aim is to develop the Minyango project to potentially increase the Companys production in the near-term to accompany its already producing Cook mine project.

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Caledon Resources PLC Interview With:
Mark Trevan Managing Director

Dated September 20, 2007

http://www.wallstreetreporter.com/page.php?page=featured&id=26736

Why go further than 10% of about to be diluted capex unless you are going to go a good deal further. Polo crossed 11% and 12% on Tuesday when SP was 72p ish which sets a nice floor under the price. He can't buy the company for less than he's recently paid and, as an aggressive profit-maker/taker, he won't be planning to sell for a good deal more than this - minimum 10%, takes us to over 80p bid.

Bit of a roller coaster since I suspect SP is now getting ahead of value of operating business. Get ready to sell if you feel your stomach lurch at the top of the next up! Or hold tilll an even higher next up.

Stockdog, i tried selling at high and re-entering but came a bit unstuck, so for me
i'll wait for the bigger picture which imo will be a lot higher SP than the present?
cyril

Stockdog, i tried selling at high and re-entering but came a bit unstuck, so for me
i'll wait for the bigger picture which imo will be a lot higher SP than the present?
cyril

let's hope so, noc!

I am taking a guess that TW at tips.com has said sell and take profits.........can anyone confirm ?

PP, its what appears to be the case, although i don't subscribe to it myself.
cyril

PS. to my last post, just wonder who buying, Polo perhaps?
cyril

all I can say is that AIM stocks are very very volatile and any punters out there with big profits should take some.
this share has been pumped up big style.
i have seen a number of australian stocks rise shrpley and fall faster.
imho

Well, I've taken my profit on this one - 66% after for 6 months to the day - very nice thank you. SP falling, many sellers today, Polo/takeover news not forthcoming - never bet on a takeover, chances of it happening mitigates against it. I'm happy and am slowly learning how to "sell too early" as John Templeton claims he made is fortune by doing!

Good luck all who continue to hold. Hope for your sakes I live to regret selling!

We are back on track today.

Ah well, sold too early - maybe get back in later.

http://www.investegate.co.uk/Article.aspx?id=200805190702007025U
This is great news if not unexpected,once the fund raising is completed it'll be all steam ahead imho, and could put us as canidiate for a take over at a much higher
SP than present?
cyril

stockdog,
well done my son and very very good advice.
nothing more sickening than losing a fat profit due to holding on too long.
Take note fellow punters - always leave something for the next man!!!

This story has run its course!!!

So what do know transco15?.

I know there is a major hype up on this stock and it wont last much longer.
when the new stock hits the market there is a big downside.
trust me I have seen this market manipulation before imho.

From todays RNS latest share massively oversubscribed, also Minyango
has the potential to produce between 2/3m.t/annum.Not the type of news which
causes shares tank.
cyril

transco15 - "when the new stock hits the market there is a big downside"

When you dilute 178m shares at 73p with 13.6m shares at 53p you get 191.6m shares at 71.5p - hardly a big dilution. And as noc says, massively oversubscribed.

Interested (in a morbid kind of way) whether my decision to sell turns out a wise move or I've missed the next upward leg. I've really no idea. Coking coal prices into China have doble since January, but CDN has had a pretty good run.

My guess (and no more) is that the Oz listing will cause a spike followed by weakness and doldrums for some tiome to come.

Nice of you to give your opinion - mine is unchanged - you have got out at the near top!!

Mention in the Times reqarding the share issue. Its possible that the reason for the
oversubscription would be down to the instant 30%+ profit at the present SP, so
we could see some early selling? For me the reason i'm holding tight is that i believe we just have an engineering issue to sort out,before the real potential is realised?
aimo
cyril

Niceonecyril,

Spot on C..... it may be worth holding on but beware if the sp comes under fire these will drop like a stone in IMHO.
I would also keep an eye on the oil price. If that drops, as it will at some point, it will have a very negative impact on CDN or any other coal stock.