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.

**********************************

Caledon Resources PLC Interview With:
Mark Trevan Managing Director

Dated September 20, 2007

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

Yes i agree that polo are worth looking at now, its been worked out that the
value is worth over 4p alone for their holdings in CDN and GCM + cash. Of course with the Mongolian assets which we are led to believe will show profit this quarter, makes it well undervalued.
Back to CDN and todays rise, trading around 28p is stunning and just goes to show that its possible to pick up some real bargains at present.
cyril

Holders should enjoy this well researched article by Wendy Durham;

Click HERE

boiler room shut down boys?

transco are you suggesting CDN and POLO run by a boiler room?

Operational Update and Closure of London Office


2008 sales forecast 460,000t

2009 sales guidance revised down due to market outlook

London office to be closed and functions transferred to Brisbane office

In an analyst presentation posted on the Caledon website on 18 November 2008 the Company forecast saleable production of 500kt for 2008 and 900kt for 2009.

Due to production constraints the Company's revised sales forecast for 2008 is now 460kt.

In addition, due to the very significant deterioration in the market outlook for coking coal over the past month, the Company is now revising its 2009 production target downwards. In this regard the Company now believes it is prudent to forecast a minimum of 400kt of saleable production for 2009, with greater sales possible if market conditions improve. The Company's immediate focus is on cost reduction and cash conservation.

In line with this focus, the Board has decided to transfer the functions currently performed within the Company's London office to existing finance staff in Brisbane and terminate the lease on its Hudson House offices. This decision will result in the redundancy of three staff in London.

cyril

Not suggesting anything pal.
Look at whats happened - what do you think.
Was this ever ever worth more than 30p?

RNS possible bid coming?

An update on that bid, of sorts? In their latest RNS.
cyril

Further to the Press Release of 19 January 2009 regarding a possible offer, the Company has engaged RBC Capital Markets to conduct a strategic review which will include soliciting further interest in the Company and its assets (the 'Process'). Prior to commencement of the Process the Company had discussions with several parties, one of which provided the Company with a non-binding, conditional written indication of interest at a level significantly in excess of the current market price. The Process is in its early stages and RBC has recently made formal contact with several potentially interested parties. There is no certainty as to the terms and structure of any such transaction nor that an offer will be made for the company as a result of the Process. Shareholders are advised to take no action at this time. Any further announcement will be made as appropriate.

Also from results;

Highlights

First ever profit from operations - A$26.8m in 2H08, with full year net profit A$8.2m

Basic earnings per share of 4.3 cents (2007: loss per share 23 cents)

Strong financial footing: year-end cash on hand A$44.2m

Outstanding convertible notes down from 27.5m to 18m

Final payment made on Minyango


Summary of results

Year ended

31.12.08

A$ million
Year ended

31.12.07

A$ million

Revenue


121.9
15.2

Cost of coal sales


(82.5)
(37.8)

Gross profit\(loss) (see note 1)


39.4
(22.6)

Net profit\(loss) for the year


8.2
(34.5)

Basic EPS - cents


4.3
(23.0)

Cash at bank


44.2
24.0

cyril

Over 1m bought so far,it seems the news has sparked off real interest, certainly
in my case as i bought back this am and i'm already in profit.
cyril

From a FT article published 11th march,
Caledon Resources added 4.4 per cent to 18p on talk one of its big shareholders might sell its stake to a Chinese bidder.

So the Chinese are sniffing around?

cyril

As you can see copied from another board,it was my intention to highlight the late rise in the SP, but this covers the point.


This from LSE site, will be adding Monday especially as the buggers put this in auction for the last 13 mins of trading on Friday.

"Shares in Caledon Resources (LSE:CDN) hit a rich seam closing at 26p as talk of a 125 million bid did the rounds. The shares which have fallen from a high of over 150p were well traded throughout the day on persistant chatter that major shareholder Polo Resources (LSE:PRL) was at last ready to make an offer in the region of for the rest of the shares it does not own." This from last month also backs up the above but I don't think it will be PRL, my money is on Peabodys of the U.S who have openly declared they want to expand into Australia to start serving the Chinese coal market. Time to pile in Monday I do believe.


With a M/Cap of 55m,this is roughly 2.5 times the present SP. It should be remembered that it is in BID notification at present.

cyril

Flying this am 30/31.25p.

cyril

hit 35p/36p at 1 point today

Articles in both the Times and The Mail on bid rumours between an Indian Steel Co.
and a USA Finance Co.. Believed to 50/60p range?
cyril

Bidding war is what is being rumoured and prices of 1 being banded about as the bid.
Love to think this is the case but will sit back and watch.

Another positive day so far?
cyri;

Slow and steady that will do for me

yes, slow and steady.....more than doubled price in a week, lol.

heres to next week......80p by then, haha

TTT