Introduction

Polo aims to become a major international coal mining and exploration group with additional interests in uranium and iron ore. The Company is focused on acquiring and developing interests in projects that are strategically located to serve the increasing global demand for coal, in particular to feed the robust demand of Asia.

Polo holds a diversified portfolio of coal and uranium licences in Mongolia. The geology of Mongolia is highly prospective for significant mineral deposits; however, the countrys resources have been vastly under-explored and under-developed. Polo has specifically targeted areas of significant known coal resources that are near the necessary infrastructure to export coal into the growing energy markets of adjacent China and Russia.

Polos strategy in Mongolia is to fast track into development the Union Coal Project and the Ereen Coal Project in 2008. Polo is targeting total production of 1 Mt of coal per annum commencing in the fourth quarter of 2008. Polo also plans to define 1 Bt of high quality coal resources by 2010.

Polo also holds a strategic interest in GCM Resources plc, an AIM listed (ticker code: GCM) resource development company with a wholly owned subsidiary operating in Bangladesh and investments in South Africa. GCM Resources plc is developing a coal mine and power plant project in Bangladesh, the Phulbari Project.

Market cap: 190.408m

Major Shareholders

The Company's issued share capital consists of 1,170,622,425 Ordinary Shares of no par value.

The Company does not hold any Ordinary Shares in Treasury.

As of 17 March 2008 the Company is aware of the following persons who hold, directly or indirectly, voting rights representing 3% or more of the issued share capital of the Company to which voting rights are attached:

Name
Number of Ordinary Shares
Percentage of issued share capital

RAB Capital Plc
97,240,425
8.31%

TPG-Axon Partners (Offshore) Ltd
71,907,000
6.14%

Capital Research and Management Company
65,740,000
5.62%

Angstrom Capital Limited
60,000,000
5.13%

Chiropo Company SA
60,000,000
5.13%

Libra Advisors, LLC*
45,450,000
3.88%

Perella Weinberg Partners Xerion Master Fund Ltd
41,960,000
3.58%

TPG-Axon Capital
37,043,000
3.16%

Seamans Capital Management Ltd.
36,870,000
3.15%

* Note: Libra Advisors LLC is the investment manager of two funds, Libra Fund LP (holding 36,760,000 Ordinary Shares) and Libra Offshore Ltd (holding 8,690,000 Ordinary Shares).

Guess why?

why?

Perhaps market perception sees POLO having paid quite a premium for a minority shareholding in a coal mine. If they cannot complete the purchase of CDN and no other bidder emerges what are they going to do?

IMO some of the up side over the last week was Speculation on the Bid for GCM/CDN .... but this is still a share to watch IMO at the 12p mark as not lets forget (the Mongolian Acquisition Agreement). + in the prolific South Gobi Coal Basin, currently holding a total of 24 licenses in this area with a further 10 licenses under option. Should Polo exercise all these Options it will hold a total license area of 6,783 km2 a significant increase from the 570 km2 previously held. + .30% stake in GCM which has gone from 100 to 300 in two weeks ! DYOR !

Smiler o - what you make of the latest rns ?

Caledon Resources says Polo Resources lifts stake in company to 24.44 percent
AFX


LONDON (Thomson Financial) - Coal miner Caledon Resources Plc. said coal-focused investment company Polo Resources Ltd. has lifted its stake in Caledon to about 48.38 million shares, or 24.44 percent, from 44.99 million shares.

Polo has been raising its interest in Caledon since March, when it bought 11 million shares, or a stake of over 6 percent.

On June 12, Polo terminated its discussions with GCM Resources Plc. regarding its 175 pence a share possible cash offer for GCM.

Polo said at the time the reason for the termination concerned the length of time it might take for the GCM board to agree to the offer, and it did not want its pursuit of other opportunities to be affected by lengthy negotiations.

Well IMHO PRL hold 30% of GCM @3.00= JUST OVER 43m CDN 24.4%@1.50 = JUST OVER 72m


You never Know you may even see another Bid On GCM ?? PRL @ 12p Could see some up side in the Near Future ?GCM @3 CDN@1.50 with licenses etc this should be around 15p mark at least ???

CALEDON RESOURCES PLC



NOTIFICATION OF MAJOR INTERESTS IN SHARES



Caledon Resources plc (the 'Company') (AIM: CDN, ASX:CCD ) announces that it was notified on 25 June 2008 by Polo Resources Limited that, following the purchase of Ordinary shares of 5p ('Ordinary Shares') on 23 June 2008, Polo Resources Limited is now interested in 49,485,196 Ordinary Shares. This shareholding represents 23.91% of the Company's present issued share capital.



The shares acquired are held in the name of Pershing Nominees Limited and Bank of New York (Nominees) Limited on behalf of Polo Australasia Limited, a wholly owned subsidiary of Polo Resources Limited and in the name of Polo Australasia Limited.

this goes down every day recently.....bombing down

bad week for a lot !! Have you seen TMC chart scot !!!

i'll check it out

nice start to the day

POLO RESOURCES LIMITED

('Polo Resources' or 'the Company')




COMPLETION OF 28 DRILL HOLE PROGRAMME ON KHASAAT COAL PROJECT IN MONGOLIA




Polo Resources (AIM:PRL), the natural resources investment and mining company, is pleased to announce the successful completion of a 28 drill hole programme on its Khasaat coal project in Sayshand Province, Mongolia.




The programme, completed in three months using 2 Universal drill rigs, was comprised of five diamond drill holes and 23 open percussion drill holes with a total of 3,245 metres drilled. The programme was designed to validate a non-compliant resource estimate dating from 1990 which was based on 68 diamond drill holes. The 28 drill holes were drilled on a 400 x 400 metre pattern over the license area (133Ha).




Coal was intersected in all 28 drill holes and occurs as a flat multilayered seam with demonstrated continuity. Seam thickness ranged from 25 to 70 metres true thickness with depths to top of contact ranging from surface to 55 metres. This highlights the low strip ratios (estimated at approximately 3:1) that would be required to mine the deposit and its high suitability for open pit extraction.




SRK Consultants has been engaged to complete a resource statement for the deposit in accordance with internationally recognised standards (JORC Standard). Once complete Polo Resources intends to submit the resource statement for submission to the Mongolian Government and seek to progress the Exploration Licence to a Mining License for this project.




Neil Herbert, Deputy Chairman of Polo Resources, said:

'The project is conveniently situated for coal export lying 70 kilometres from the nearest railway terminal and approximately 205 kilometres from the Chinese border. Khasaat coal is typically good quality thermal coal much in demand in China and the project's thick seams and low stripping ratios indicate attractive extraction costs'.




The information contained in this announcement has been reviewed by Paul Ingram, CEO & Director of Polo, P.Geo, AIMM, MICA, BSc Geo. Mr. Ingram has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking, to qualify as a Qualified Person for the purposes of this announcement.



As I said in post 37 !! : )

After yesterday's news this, surely will put a smile on your face.
http://www.investegate.co.uk/Article.aspx?id=200807010700109328X
cyril

Not much of a rise considering the news

Give it time to .. slow but sure....Interesting to see what happens with GCM over the next two weeks or so !

Its still at the stage of jam tomorrow, its the difference between investing and trading. Just a lot of patience required?
cyril

Yep... I just want it to get back closer to the 20 p mark asap

2 July 2008

POLO RESOURCES LIMITED

('Polo Resources' or 'the Company')

Commencement of drill programme on the Erdentsogt Coal Project in Mongolia

A drill programme has commenced on the Polo Resources 100% owned Erdentsogt Coal Project. This is the second phase of drilling on the project following an earlier six drill hole programme.

The project consists of 5 exploration licenses in the Dornogovi Coal Basin in south eastern Mongolia with a total area of 1,577km2. To date more than 30 line kilometres of seismic survey have been completed on the project highlighting

the significant extension of the coal within the basin. The results from previous drilling and exploration indicate continuity of the coal seam over a distance of 5.5 kilometres with seam thickness varying between 45 to 106 metres outcropping at surface. The coal seam is dipping slightly (approximately 2 degrees) to the north within the license area.

Neil Herbert, Deputy Chairman of Polo Resources, said:

'The large coal seam on Erdentsogt and its close proximity to China may make this project suitable for supplying the considerable demand for thermal coal currently being experienced in Northern China. The project is situated approximately 120 kilometres north of the Chinese frontier and we are evaluating options for transporting the coal.'

The information contained in this announcement has been reviewed by Paul Ingram, CEO & Director of Polo, P.Geo, AIMM, MICA, BSc Geo. Mr. Ingram has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking, to qualify as a Qualified Person for the purposes of this announcement.

July 02, 2008
Undeterred By Riots In Mongolia, Polo Resources Speeds Towards Production

By Alastair Ford

Whats happening at Polo Resources? You might well ask, given the recent shenanigans revolving around the companys 24.4 per cent stake in fellow coal miner Caledon Resources. And you might well ask, given the companys 29.7 per cent stake in fellow coal company GCM Resources, which has almost doubled in value over the last few months. And you might well ask, given the recent violence and newly declared state of emergency in Mongolia, where Polo has an attractive-looking portfolio of directly held coal assets.

The one common denominator in all these situations is coal, and though there is some uranium in the company, its coal thats the real driver at the moment. The most recent bust-up with Caledon goes back to March, when Caledon was suffering from a bit of a working capital squeeze, as start-up production from the companys Australian coal assets was repeatedly delayed. The answer from the Caledon perspective was a fresh fund-raising and Australian listing, but Polo had other ideas. For one thing, the Polo team felt that the mooted price of the fundraising was too cheap. The money was eventually raised at 53p, and since, at their current 118p, Caledons shares are now at a significant premium to that placing price, the Polo argument now looks to have had legs. That said, the original Caledon argument that the Australian market rates small coal companies at a greater premium than Aim also look valid.

At the time accusations and counter-accusations flew around, both on and off the record, but Polos room for manoeuvre was unexpectedly restricted when a share suspension over-ran its course, and when its own fund-raising fell short of the original target. Caledon struggled onto the ASX, got its operations up and running, and now looks, according to ABN Amro, fairly priced on a projected 2009 forward multiple of seven times earnings. The broker forecasts net profits of just under A$95 million for the same year, but cautions that the companys Magatar continuous miner system has yet to fully prove itself.

Polo, meanwhile, may have been diluted, and its mooted offer for Caledon fizzled, but its still sitting on a sizeable shareholding in a company that may yet offer a serious takeover premium, or that it may yet bid for itself. Polo deputy chairman Neil Herbert wont say that, of course, especially since Caledons price is so much higher now than when the idea of a Polo bid was first seriously tabled back in March. Hes rather reluctant even to refer to Polos 61 million cash pile as a war-chest. A sizeable chunk of that will go towards development of the companys Mongolian assets in any case. But he has no qualms about admitting that Polo is acquisitive. Indeed, thats what Polos always said, and its acted accordingly.

Some time ago it floated the idea of offering 175p per share for GCM Resources, the coal company run by Steve Bywater which has assets in Bangladesh and a stake in Coal of Africa, and was formerly known as Asia Energy. To date, the average cost per share of Polos 29.7 per cent stake in GCM is 153p. At the time of the potential offer, GCMs shares werent as strong as they are now, so the offer wasnt out of bounds. Polo remains on friendly terms with GCM, but couldnt agree on a final price. Given that GCM now trades at 276.5p, it looks like management at both companies were on the right track the offer was too low from a GCM perspective, but would have been a good deal for Polo if it had pulled it off. Whether GCMs flagship Phulbari asset is ultimately actually worth anything is another matter, since development delays there may yet drag on for years or even decades.

So acquisitive it may be, but for the time being, both Polo and the market appear to have had enough of all the posturing and counter-posturing that went on earlier in the year. Mr Herbert is now keen to move on, and to get the focus back to operational matters. That means Mongolia. Mr Herberts precise timing wasnt exactly fortuitous, since even as he was speaking to Minesite, riots in Mongolias capital Ulan Bator were gathering momentum. Eventually five people were killed and hundreds injured in protests about electoral fraud.

But the following day, Mr Herbert gets on the phone to say that as far as Polos projects are concerned, hes not overly worried by the recent turn of events. He was straight onto country manager and chief operating officer Tony Bainbridge once he heard about the riots, and received plenty of reassurance. My understanding, says Mr Herbert, is that its all calm. The ruling party has emerged as the clear winner, and, unlike the situation that followed another much more famous and recently disputed election, that of Zimbabwe, substantive grounds for disputing the result are less obvious. The accusation is fraud, but the margin of victory was quite large unlike in Mongolias last election. More significantly for Polo, and for other operators out there like Rio Tinto and Robert Friedland, if the result stands there ought to be greater clarity about the countrys mining law going forwards.

Polo holds 46 coal licenses in Mongolia, covering just under 95,000 hectares of ground. Internal company estimates show that three of these properties, Union, Erdentsogt, and Khasaat, hold around 1,000 million tonnes of sub-bituminous thermal coal, while theres also 170 million tonnes of coking coal on two properties, Ereen and North West. Recently the company has been aggressively drilling, and there should be a steady stream of results coming out into the market going forward.

The real upside, though could well come from the companys South Gobi holdings, where a resource has yet to be delineated, but which lie in vicinity of the assets on the back of which South Gobi Energy Resources has built itself into a C$4 billion company on the TSX Venture Exchange. Polo is looking at fairly near-term production from both Union and Ereen. Its not yet clear which will come on stream first, but no new funds will be required to get either up and running, and Mr Herbert doesnt sound like hes over-egging the pudding when he says trial production should begin before the year end and that hed like to get a million tonnes out of Ereen in fairly short order. Costs should come in at around US$10 per tonne, and although reports of local coal prices vary wildly, that ought to generate good healthy margin for the company.

The market didnt seem too bothered by the Mongolian rioting, and actually marked up Polos shares by 0.25p to 12.5p in early trading in London after news of the violence broke. That mild strengthening of Polos price was more likely due to continued overall bullishness on coal, and specifically the latest resource update from Caledon, since the London market has in any case little of awareness of the Mongolian political situation. The wider picture certainly looks good. Global shortages and rising demand continue to lift coal prices, according to recent daily commentary from broker Fairfax. The broker adds that one major constraint in getting coal to markets has been a lack of port capacity in Australia. That wont be a problem for Polo, though, which sits plumb in between the two key markets of Russia and China. Mongolia has huge potential as a mining district, adds Fairfax. Lets just hope it holds together as a country.