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

I personaly think this one is way undervalued by the market.

Of course the green lobby wont agree but in business its usually getting a supply of what is the cheapest form of fuel for future progress.

Make no doubt about it coal is going to play a big part in the energy markets going forward.

You are a busy ramper!!

IMHO this stock is way overvalued and has been touted up by people who should know better.The SP is an indication of this!!

Another big X trade, this time 1.5m at 36p (higher price than the 3m X trade on the 11th).

More overhang cleared up then.............

Plenty of big trades today as well as the large X, hopefully its now building a base as lines of stock pass from weak to strong, and CDN can soon commence a decent move upwards.

Spot on PP.

aUSTRALIA is floating on coal and this minnow of a share is going nowhere.
Punters beware some people are pumping this stock!!

Ticking up nicely today.

Maybe I was a bit hasty is my opinion.

I've been watching this the last month or so with a view to taking a position here. Looks promising albeit speculative.

Yes it does now.
As I have posted before I think there could be some people pumping this one up but the move up today has surprised me.
There could be something in this one.
Then again the aim market is spells danger for inexperienced investors.
You could lose your shirt!!!

Wow salt and pepper at the ready something is happening!!!

Rumour mill is the new ABM25 will be cutting coal next week.......lets hope so, and hope its implementation goes smoothly and we get the big upgrade to production for Nov and Dec.

Transco,

I respect your opinion and warning, however feeled compelled to say that Papal is a pretty good in fact very good stock picker, he/she gets most of the selections very right.

While not obviously a reason to follow his/her lead, it does show that he/she picks stocks using sound fundamentals and prospects.

Apologies for the political correctness.

Stevo,

Respect man!

I have found the need to be very very careful when taking advice from these boards, especially when it involves AIM stocks.

I just say this from experience. - In term of the facts I really dont see why Caledon is special there are lots of other mining companies around so why should they be so undervalued.

I just dont see an argument for buying them over others in the market.

I do understand your point, maybe they are undervalued because there are just so many mining stocks around with great potential, this is a supercycle after all, hopefully it will last until my retirement 20+ years to go lol.

Or if I cock it all up 29+

steveo, given my bank balance, do not follow any of my stocks........... ;) LOL


transco, you value a company on what it has, and what it is producing. Caledon should soon be producing 100K tonnes a month, that is worth around 12 million dollars sales revenue a month.

Take that level of production and put it on a PER of say 6 to 8 and what do you have ?

You have CDN being grossly undervalued at present.

They still have to prove the ABM25 can work a cutting coal........if they do, then the shares should rerate upwards.

Ok guys.

Let the SP show us who is correct!!

Kool

Seems to be answering the question? Up over 5% today.
cyril

Yes, rising nicely. Rumours of an ABN Ambro note out on CDN with target price of 93p.......will have to wait and see if the rumours are true.