he bought 500k this morning expect it to be in his diary this week watch it go
he was into CHP recently and that doubled ....

t1ps now think they are worth 79p...........

11th May 2007 Contact: Monisha Varadan
monisha@t1ps.com
0207 562 3370


EMED Mining Option over Spanish Project : target price increased from 27.75p to 79.4p - Buy at 13p


Key Data

EPIC EMED
Share Price
13p

Spread
12.5p 13.25p

Total no of shares
126 million

Market Cap
16.38 million pounds

12 Month Range
7.75p 12.75p

Market
AIM

Website
www.emed-mining.com

Sector
Resources

Contact
Harry Adams
00357 9945 7843


EMED Mining has today announced the acquisition of an option over a copper mine in Southern Spain which is expected to accelerate its transformation from an explorer to a producer. The mine is fully developed and operated for many years but is currently dormant. So this deal will, by resurrecting the mine, bring much needed jobs to the area and hence should have strong local and regulatory backing . Other recently permitted mines in this world-class Iberian Pyrite Belt include the nearby Inmets Las Cruces and Lundins Las Blancas mine and its Neves Corvo mine in Portugal.

From the investors perspective, this is a mine which could plausibly generate 33 million in free cashflow annually from mid 2008 onwards and hence it creates real value for EMED on a heavily risked basis we believe that this acquisition increases our valuation of the group from 25.5 million to 100.5 million. The Spanish deal is being partially funded by the issue of equity but even on the enlarged share capital our estimate of fair value rises from 27.75p to 79.4p and we reiterate our buy stance.

The deal announced today is that EMED has secured an exclusive option to acquire 100% of Proyecto de Rio Tinto (PRT) copper mine and processing plant in Spain. The price of that option is to fund care and maintenance on this dormant operation which will cost 1-2 million pounds. The PRT mine has the potential to complement and add value to EMEDs exploration asset growing portfolio and generate early cash flow as early as the second quarter of next year.

The exercise price of the option to acquire 100% of the PRT copper mine and processing plant site is capped at 75 million euro (approx. 50 million pounds) and covers the costs of restart and clean-out of the creditors of the vendors debts and obligations. The project, originally built and operated by Rio Tinto (RTZ) within the Iberian pyrite belt, is adjacent to the town of Rio Tinto, 65 kilometres northwest of Sevilla, in the Andalucian region in Spain. The PRT mine, currently operating on care and maintenance since 2000 due to then-prevailing low copper prices (below $US1/lb), comprises a complete set of mine and plant infrastructure, mineral rights within the main tenements and exploration assets. The plant was expanded in 1996 and had a peak throughput rate of 9Mtpa in 1998, with head grade 0.49-0.61% Cu and concentrate recovery of approximately 23% Cu.

It contains in-situ JORC-compliant Resources and Reserves copper exceeding 1 million tonnes (1.2Mt) and 300,000 tonnes (342Kt) respectively, based on 209 million tonnes at 0.57% copper resource and 53 million tonnes at 0.65% copper reserve, independently verified by AMC consultants. The company expects to increase reserves during 2007 by completing pit-design and optimisation studies.

The companys objective is to trigger its option to acquire 51% of PRT in the fourth quarter of 2007. That, and the costs of restarting the mine will cost EMED 18 million but the option will only be exercised after EMED is satisfied that its stipulated conditions precedent have been satisfied. The option to acquire the remaining 49% can be exercised in tranches of no less than 10% per annum, during the next four years at a cost of 35 million. In addition, the company expects to invest further capital in environmental improvements in this site which was mined for over a century and in expanding production and in restoring and rehabilitating the site.

The conditions precedent, include receipt of all regulatory approvals and the satisfaction of the company that all the vendors liabilities and contractual commitments to third parties have been settled . The various obligations are related to the ongoing care and maintenance funding over the past 6 years and from bankruptcy and litigation of related parties. Regulatory approvals from the regional Government of Andalucia, are linked to EMEDs consideration for undertaking responsibility for site restoration and rehabilitation, funding care and maintenance, and other social, environmental, technical and financial solutions. The completion of technical due diligence for planning the restart of the mine, processing plant as well as a fast track site restoration and on-going long term production plan, are part of the conditions precedent. The regional Government of Andalucia is very supportive of development and can be expected to support this transaction as long as EMED can clean up the baggage of the past bankruptcies. In this regard it is notable that the EMED Board includes not only a Managing Director with strong commercial experience but a Chairman who was previously head of investment banking at Rothschild.


After due diligence and other legal/technical advice from independent consultants AMC Consultants, Golders International, and legal advisers Baker McKenzie, Madrid, the company considers its feasible to restart production in the second quarter of 2008 at the initial rate of 27,000 tonnes per annum copper-in-concentrate. That would generate annual revenues in the order of 71 million pounds at copper price of $2.50/lb or 51million pounds at copper prices of $1.80/lb (current spot price of US$3.70 /lb). Plans to expand production over time to 40,000 tonnes copper in-concentrate throughout the site are also in the companys sights. Current operating costs are estimated to be $1.32/lb, or approximately 39 million pounds per annum at the initial production rate. At the initial production rate at a copper price of $1.80/ lb the free cashflow generated would be 13 million per annum. At $2.50/lb EBITDA would rise sharply to 33 million per annum. Of course, initially EMED would have the rights to only 51% of those cashflows but with such strong cashflows to borrow against it could easily gear up to buy out the minority shareholders at an accelerated rate.

EMED believes that the 18 million needed to exercise its option to buy 51% of the equity and to restart the mine and the 24 million it needs to expand output can be funded via a combination of project finance, pre-sales to customers and project cashflow.

To fund the option and to accelerate its exploration elsewhere in Southern Europe, EMED Mining has expanded its shareholder base through a 4 million placing, with the introduction of major mining company Gold Fields, project financiers Resource Capital Funds and Rand Merchant Bank, to its shareholder base. The 33.3 million new ordinary shares placing at an issue price of 12p, will raise 3.8 million net which will finance the initial due diligence and permitting phase at PRT (2.5 million) with the balance funding exploration expansion and advancement of projects in Slovakia and Cyprus.

Australias Oxiana has maintained its holding in EMED at 12% by supporting the placing but as a result of this offering of equity, Gold Fields now has a 10% stake, the management has 15% (27% fully-diluted) with financial institutions in Australia, UK and the USA holding 28%.

EMED has also announced that it intends to expand its current project operations, particularly at its recent gold discovery at Biely Vrch in Slovakia, where the company has applied for additional exploration license acreage. The company is currently drilling over 500 metres at Biely Vrch, with the best of only 5 drill holes to date assaying 1.2 g/t gold. Of significance, Gold Fields has being granted the first right of refusal if EMED Mining decides to joint venture its Slovakian interest within the next two years.

The progress made in Slovakia indicates that our existing valuation of EMED at 25.5 million was cautious. However it is the news from Spain which transforms the outlook for the company. Our valuation of PRT is based on copper prices of $2.50/lb which is well below the current price of $3.70/lb and our model is risk weighted to account for political uncertainties which may derail EMEDs plans as well as risks inherent in project financing such a large scheme. None the less we still value the PRT deal at 75 million and hence we are increasing our group valuation to 100.5 million or from 27.75p per share to 79.4p per share. The stance remains buy.

Bought a few bobs worth of these today.

Heres a fairly recent report from GCI.....

EMED funds expansion
Companies: EMED
11/05/2007
Copper and gold prospector EMED Mining has raised 4 million for exploration in Slovakia and a mine purchase in Spain.

Broker Fox-Davies Capital led the placing at 12p for AIM-quoted EMED, which wants to step up exploration at its recent gold discovery at Biely Vrch in Slovakia. Headed by Australian managing director Harry Anagnostaras-Adams, the company also wants to acquire Proyecto de Rio Tinto, a Spanish copper mine built by the Rio Tinto group, and to advance projects in Cyprus and Georgia.

Mineral group Oxiana Europe has maintained its 12 per cent EMED stake by subscribing to the placing, which was also taken up by a subsidiary of the Gold Fields group, institutions and EMED directors. At 13p, EMED shares value the company at 11.5 million.

Robert Tyerman

GF

I think you've made a good move but I still think it's a long termer.

Good luck to us all.

MS

Seems to be doing OK short term never mind long term Mickey..... NICE.

hi GF nice to see you on board this really has got some momentum

Some of Monishas targets look a bit racey but I think theres plenty of potential here.

her original target of 27p would be a good marker and its a stock with decent news flow which is the key IMHO to small cap stocks

bit of profit taking late on ??

A note from Growth Equities and Company Research

These recommendations do not constitute advice, please read the risk warnings

EMED Mining option over Spanish project: target price increased from 27.75p to 79.4p - buy at 13p. We presented a note from Growth Equities and Company Research on EMED Mining on 19 February 2007 to buy at 11.5p (Buy EMED Mining at 11.5p).

EMED Mining (EMED) has announced the acquisition of an option over a copper mine in Southern Spain which is expected to accelerate

its transformation from an explorer to a producer. The mine is fully developed and operated for many years, but is currently dormant. So this deal will, by resurrecting the mine, bring much needed jobs to the area and hence should have strong local and regulatory backing. Other recently permitted mines in this world-class Iberian Pyrite Belt include the nearby Inmet's Las Cruces and Lundin's Las Blancas mine and its Neves Corvo mine in Portugal.

From the investor's perspective, this is a mine which could plausibly generate 33 million in free cashflow annually from mid 2008 onwards and hence it creates real value for EMED - on a heavily-risked basis we believe that this acquisition increases our valuation of the group from 25.5 million to 100.5 million. The Spanish deal is being partially funded by the issue of equity, but even on the enlarged share capital our estimate of fair value rises from 27.75p to 79.4p and we reiterate our buy stance.

The deal announced is that EMED has secured an exclusive option to acquire 100% of Proyecto de Rio Tinto (PRT) copper mine and processing plant in Spain. The price of that option is to fund care and maintenance on this dormant operation which will cost 1-2 million. The PRT mine has the potential to complement and add value to EMED's exploration asset growing portfolio and generate early cash flow as early as the second quarter of next year.

The exercise price of the option to acquire 100% of the PRT copper mine and processing plant site is capped at 5 million (approx 50 million) and covers the costs of restart and clean-out of the creditors of the vendor's debts and obligations. The project, originally built and operated by Rio Tinto (RTZ) within the Iberian pyrite belt, is adjacent to the town of Rio Tinto, 65 km north west of Sevilla, in the Andalucian region in Spain. The PRT mine, currently operating on care and maintenance since 2000 due to the then prevailing low copper prices (below $US1/lb), comprises a complete set of mine and plant infrastructure, mineral rights within the main tenements and exploration assets. The plant was expanded in 1996 and had a peak throughput rate of 9Mtpa in 1998, with head grade 0.49-0.61% Cu and concentrate recovery of approximately 23% Cu.

It contains in-situ JORC-compliant resources and reserves copper exceeding one million tonnes (1.2Mt) and 300,000 tonnes (342Kt) respectively, based on 209 million tonnes at 0.57% copper resource and 53 million tonnes at 0.65% copper reserve, independently verified by AMC consultants. The company expects to increase reserves during 2007 by completing pit design and optimisation studies.


Objectives

The company's objective is to trigger its option to acquire 51% of PRT in the fourth quarter of 2007. That, and the costs of restarting the mine, will cost EMED 18 million, but the option will only be exercised after EMED is satisfied that its stipulated conditions precedent has been satisfied. The option to acquire the remaining 49% can be exercised in tranches of no less than 10% per annum, during the next four years at a cost of 35 million. In addition, the company expects to invest further capital in environmental improvements and in expanding production and in restoring and rehabilitating the site.

The conditions include receipt of all regulatory approvals and the satisfaction of the company that all the vendor's liabilities and contractual commitments to third parties have been settled. The various obligations are related to the ongoing care and maintenance funding over the past six years and from bankruptcy and litigation of related parties. Regulatory approvals from the regional Government of Andalucia are linked to EMED's consideration for undertaking responsibility for site restoration and rehabilitation, funding care and maintenance, and other social, environmental, technical and financial solutions. The completion of technical due diligence for planning the restart of the mine, processing plant as well as a fast track site restoration and on-going long term production plan, are part of the conditions precedent. The regional Government of Andalucia is very supportive of development and can be expected to support this transaction as long as EMED can clean up the baggage of the past bankruptcies. In this regard it is notable that the EMED board includes not only a managing director with strong commercial experience, but a chairman who was previously head of investment banking at Rothschild.


Planning ahead

After due diligence and other legal/technical advice from independent consultants AMC Consultants, Golders International, and legal advisers Baker McKenzie, Madrid, the company considers it is feasible to restart production in the second quarter of 2008 at the initial rate of 27,000 tonnes per annum copper-in-concentrate. That would generate annual revenues in the order of 71 million at copper price of $2.50/lb or 51 million at copper prices of $1.80/lb (current spot price of US$3.70 /lb). Plans to expand production over time to 40,000 tonnes copper in-concentrate throughout the site are also in the company's sights. Current operating costs are estimated to be $1.32/lb, or approximately 39 million per annum at the initial production rate. At the initial production rate at a copper price of $1.80/ lb the free cashflow generated would be 13 million per annum. At $2.50/lb EBITDA would rise sharply to 33 million per annum. Of course, initially EMED would have the rights to only 51% of those cashflows, but with such strong cashflows to borrow against it could easily gear up to buy out the minority shareholders at an accelerated rate.

EMED believes that the 18 million needed to exercise its option to buy 51% of the equity and to restart the mine and the 24 million it needs to expand output can be funded via a combination of project finance, pre-sales to customers, and project cashflow.


Accelerate exploration

To fund the option and to accelerate its exploration elsewhere in Southern Europe, EMED Mining has expanded its shareholder base through a 4 million placing, with the introduction of major mining company Gold Fields, project financiers Resource Capital Funds and Rand Merchant Bank, to its shareholder base. The 33.3 million new ordinary shares placing at an issue price of 12p will raise 3.8 million net which will finance the initial due diligence and permitting phase at PRT (2.5 million) with the balance funding exploration expansion and advancement of projects in Slovakia and Cyprus.

Australia's Oxiana has maintained its holding in EMED at 12% by supporting the placing, but as a result of this offering of equity, Gold Fields now has a 10% stake, the management has 15% (27% fully diluted) with financial institutions in Australia, UK and the USA holding 28%.


Conclusion

EMED has also announced that it intends to expand its current project operations, particularly at its recent gold discovery at Biely Vrch in Slovakia, where the company has applied for additional exploration license acreage. The company is currently drilling over 500 metres at Biely Vrch, with the best of only five drill holes to date assaying 1.2 g/t gold. Of significance, Gold Fields has being granted the first right of refusal if EMED Mining decides to joint venture its Slovakian interest within the next two years.

The progress made in Slovakia indicates that our existing valuation of EMED at 25.5 million was cautious. However, it is the news from Spain which transforms the outlook for the company. Our valuation of PRT is based on copper prices of $2.50/lb which is well below the current price of $3.70/lb. Our model is risk weighted to account for political uncertainties which may derail EMED's plans as well as risks inherent in project financing such a large scheme.

However, we still value the PRT deal at 75 million and hence we are increasing our group valuation to 100.5 million or from 27.75p per share to 79.4p per share. The stance remains buy.

This week's featured book from The Square Mile Bookstore is 'No Tears - Tales from the Square Mile' by David Charters - Behind the City of London's fade of sharp suits, fast cars and lavish expense accounts lies a world of cruel deception, savage double-dealing and rampaging egos. For 10 years, David Charters lived the life. Now he lifts the lid on what really goes on in the Square Mile. Buy it now.

This newsletter was published by t1ps.com Ltd which is regulated by the Financial Services Authority and can be contacted on 020 7033 9389. The articles in it are for general guidance only and we cannot assume legal liability for any errors or omissions they might contain.

T1ps.com assurance - all editors and contributors to the Tips service will declare any personal interests they have with any individual company they are discussing.

The value of investments can go down as well as up and you may not get back the full amount you invested. The past is not necessarily a guide to future performance. The difference between the buy price and the sell price for smaller company shares can be significant. Before investing, readers should seek professional advice from a Financial Services Authority authorised Stockbroker or Financial Adviser. Profits from dealing in shares may be liable to tax - the level of tax and bases of reliefs from tax are subject to change. Changes in the rates of exchange may have an adverse effect on the value or price of an investment in sterling terms if it is denominated in a foreign currency.

Some of the shares recommended on this site will be smaller company shares. By their nature such investments can be relatively illiquid and thus hard to trade. And that makes such investments more of a high risk than larger company shares.

Well had a look at this recent broker report and this one looks well undervalued and Ive added today.

In the report you will see a case for this one being valued at a initial market cap of 32.5 million, SP as plenty to do then.

http://www.hardmanandco.com/Research/EMED_Mining_Initiation.pdf

gf,

As you've said this one looks very tempting at a potential market cap of 32.5 never mind the 100 million based on the success of the Spanish deal.

cheers,

ian

Indeed Ian.

I hear Evil K is still in these and talking them up.

Heres his original comment in late December...

Suffice to say that nothing is happening in the markets. I am persuaded that EMED (EMED) may be cheap and since I could see its shares doubling a may have a post Christmas nibble

Just seen this on Minesite.com....

May 14, 2007

EMED Mining Hopes To Make Swift Move Into Spanish Copper Production





Looks like Harry Anagnostaras-Adams, managing director of EMED Mining has put his foot on a company maker with a package of options to acquire 100 per cent of a copper mine in Andalucia next door to the town of Rio Tinto and only 65 kms from Seville. Proyecto de Rio Tinto , as its name implies, was built by Rio Tinto, and comes with a complete set of mine and plant infrastructure . In fact Rio Tinto sold it in the mid 1900s to Freeport which was basically interested in the smelter in nearby Huelva then associated with it. When Freeport sold the project on after 3 or 4 years it kept the smelter and the mine and processing plant was bought by a co-operative of local workers. Even they found it difficult to make money at the price of copper pertaining at the time and in 2003 it was put into what Harry describes as suspended animation.
This did not last for long as some local financiers got together with the remnants of the co-operative and kept it alive on care and maintenance until 2007. This period, however, was marred by a series of disputes between themselves and also with the local authorities and Harry started to talk to both of them some time ago. He will have to obtain approvals by the Junta de Andalucia, support of the local community and approvals by the relevant statutory authorities. When the mine effectively closed in 2000 it caused much local hardship and the authorities are determined to have the right operator on board this time round and for proper risk management measures to be planned and publicly committed.

What EMED Mining can offer is its own European background and experience in Australian mining management and methods. Over a period Harry and his Spanish team have set about persuading them that this combination of European and Australian experience could be the answer for the project. Profitability will be boosted by the current copper price and Harrys team has a proven record on social and environmental responsibilities.

His aim is to restart mining in the second quarter of 2008 at an initial rate of 27,000 tonnes per annum copper-in-concentrate and generate annual revenues in the order of 71 million at a copper price of $US2.50/lb compared with the current spot price of US$3.50/lb. When Proyecto de Rio Tinto was going through its problems the price of copper was under US$1.00/lb and even the EMED Mining team visualises current operating costs, based on updated historical costs, at no less than US$1.32/lb. The current JORC compliant resources and reserves, independently verified by AMC Consultants, are 1.2 million tonnes and 342,000 tonnes contained copper, respectively based on 209 million tonnes at 0.57% copper and 53 million tonnes at 0.65% copper, respectively. The project owns mineral rights within the main tenements as well as some exploration licences in the district so there is every reason to suppose that the resources can be increased.

At the same time EMED Mining has raised 4 million by a placing to Oxiana, which is already a shareholder, Gold Fields and a number of institutions. Oxiana stumped up to maintain 12 per cent shareholding in the company and Gold Fields has become a 10 per cent shareholder in order to get exposure to EMEDs gold discovery in Slovakia. The presence of these two companies on the register has to be a vote of confidence in the continuing success of EMED. Two leading international project financiers have also popped up on the register. If all goes to plan the deal in Spain on the first 51 per cent will not be completed until the last quarter of 2007, when all conditions precedent have been met and Harry hopes that EMED will be able to buy the remaining 49 per cent interest some time thereafter.

And that is not all that is going right for EMED Mining as our correspondent Rob Davies has pointed out. It is not often that a drill hole makes a company, but its drill hole DVE4 into the Biely Vrch target in Slovakia recorded 252 metres with an average grade of 1.2 g/t gold from surface. That was the fourth hole into the target and the other three had good long intersections of over 100 metres with average grades ranging from 0.2g/t to 1.3 g/t. The first three holes were all drilled into the centre of a geochemical anomaly of 200 ppb and before geophysical data were available.

Harry explained to Rob that the initial drilling was based on mapping and geochemical data. It was only in the winter when drilling stopped that EMED opted to do some geophysical work to maintain the momentum. When that came in it showed a large IP anomaly a few hundred metres east of the geochemical anomaly and in time for the fourth hole to be directed towards it. That was a good decision because apart from the long low grade intersection the last 95 metres averaged 1.8 g/t and the hole terminated in mineralisation. Since then another six holes have been drilled on site and everyone is keenly waiting for the assay results from holes 5 and 6. Harry says that core from DVE5 drilled into the IP high looks good to the eye but that he has been in the exploration business long enough not to get too excited about each assay result. At the moment the massive work load for assay labs around the world is making the turnaround time even longer.

The property is recognised as sitting in a classic collapsed volcanic caldera and has all the indications of being a large tonnage low grade epithermal gold deposit. It sits in west central Slovakia, an area with a long mining history. Because it was behind the Iron Curtain for the bulk of the last fifty years it has not been explored at all using modern exploration techniques. Now that they are being applied in a systematic manner there is every possibility that this discovery not only represents a significant find by itself, but offers the potential of opening up a new mineral province. If that were found to be the case then EMED, with its strong initial land position at Detva, that contains the Biely Vrch prospect, and its other land positions at Hodrusa and Medzev, is very well placed indeed. Harry was modest enough to admit that when the first data came in they realised that they were sitting on something with huge potential but that they didnt really understand exactly what. One of their first moves therefore was to increase dramatically the land position to over 1,300 square kilometres of what they think is similar geology. They seem to have worked out what they are now targeting if Gold Field becoming a shareholder is any indication.

The aim of EMED Mining is to explore a part of the world that is known to be metalliferous but has perhaps not had the attention it deserved in recent years. Apart from the target in Slovakia the company has a modest copper property in Cyprus and some gold exploration targets in Georgia. Its exploration interests in Turkey and Bulgaria are held through its 34 per cent stake in Kefi Minerals which listed on AIM in December 2006. EMED is not large at a 11.6million market capitalisation, but the company has moved up after the Slovakian drill results came through. Discussing valuations of mining companies with their management is like talking about the weather with farmers. Harry does feel that London is a little overwhelmed at the moment and that companies with projects in unusual places like Slovakia perhaps dont get the attention they might do if the target was situated elsewhere. This will probably be forgotten in the excitement over the Spanish copper mine.

From Minesite.com 41st video forum 17th/May 2007.......

http://clients.westminster-digital.co.uk/minesite/microsite/events/41/pdf/EMED.pdf

Suprised more people arent in this one.

The potential is massive.

High GF.
Nice to see you onboard this one.
Outlook if everything goes to plan will be outstanding, and with Paul Curtis onboard, could not ask for better.
He is very positive, and with a possible update with their Slovakia drilling next week it`s all to play for.
Cheers.

Presumably EK's acolytes will pump this before the inevitable short.

Hi Porky,

didnt realiise Paul C was aboard.

Will have to give him a ring.

Cheers GF.

Harry adams was ceo of gympie gold, which if my memmory is correct, had to close.
Does anyone know why ?.