Interesting little company. Did a series of asset swops to leave them with half of the 4th largest Nickel deposit in the world.
The deposit itself is in the Philippines has been known about for 30 years but due to low prices and lack of demand in the Far East it was never exploited. With the explosion in demand from India and China the nickel price has climbed from $2 to $6.50 but oddly enough is still considered low.
The final approval stage for exploitation is just about to be approved and extraction will begin. The company already has one contract with a Japanese smelter and is in discussions with smelters in a series of countries.
Nothing clever about the operation, as the ore is of sufficiently high grade, they dig it up and ship it out. Infrastrucure is already in place for operation.
TMC is currently priced at 18m, the initial Japanese contract is worth 4m and each additional contract will hopefully be at this level or greater.
Final approval turns the company into a producer and each additional contract simply increases their size.
The management is tight with cash and has some good quality mining skills onboard.
The Philippine government is fast tracking the final approval and the company says it expects it shortly.
One to hold for approval and through the series of RNS's as more contracts are won. Company should be worth 50m in 6 months and 100m in 12-18 months.
Buy it, ignore it, just pointing this one out.

no reason why not, though not if you were expecting that to happen this week .... some peeps have expectations of much greater than that, though time will tell whether or not that is ludicrously over-optimistic

Maybe 500p is over optimistic, I agree

good prediction in my post 651 ....... "i would guess some sort of floor at about 345 or perhaps as low as 300, being where sp was prior to the RNS" ...... as this morning it has bounced from almost excatly that to (currently) 376/380 ...... big Q of course is whether or not sp will continue to recover

http://www.resourceinvestor.com/pebble.asp?relid=33851


Low Prices Force Nickel Pig Iron Producers to Cut Production

By Erik Dahl

13 Jul 2007 at 10:40 AM GMT-04:00


SHANGHAI (Interfax-China) -- China's nickel pig iron producers have been forced to either cut or suspend production due to recent low prices and decreased demand from downstream stainless steel mills, industry.....................................


.

Updates due shortly from TMC.Berong currently getting $101 pwt,costs believed to be about $15,on 1m tons might equate to profits of $75m this yr,probably nil tax charge bcos of high capex.TMC share about 20m,eps around 69 for this yr,nxt yr production to treble but some tax.Further out cld be producing 10m tons of ore pa by 2010 for 150k tons of Ni pa & smelting it all themselves or with jvs.Have already announced a smelter to treat 1.47m tons of ore.At Ni price of $15000 that wld equate to a cashflow for Berong of $2bn+ pa on the 150k tons.

Should say my estimates come from Phillipines mining engineer.Atlas produces Quarterly figs which are due mid August,go to www.pse.org ticker is AT.They seem to have received about $5.5m in Q1 from their 25% of Berong sales but cannot tell how much ore that covers.Q2 should be much more helpful

Looking at your post oilyrag re profits,its worth remembering that the ore is only 0.5m down so costs are very low indeed.Note also that the FOB price China is $208 pwt,with shipping costs at about $50 pwt from Phillipines to China,someone is still making a big profit at $101 FOB Phillipines!

Yes Mike Atlas Conolidated Mining a 25% shareholder in

Atlas Consolidated Mining holds its AGM on 18th July we may get some insight into the earnings achieved by Berong before TMC issues its quarterly report . I hope Oilyrag is tuned in!

Still watching.

Looking cheap Oily?

Figures quoted on shipments look weaker than some were hoping for imv :

Post from AFN :


Judge Jury - 18 Jul'07 - 08:18 - 30102 of 30107


Berong Plans Nickel Processing Plant At Philippine Mine
18 July 2007
Dow Jones International News

MANILA (Dow Jones)--Berong Nickel Corp. said Wednesday it plans to build a $200 million to $300 million nickel processing plant at its mine site in the central Philippines.

"Construction will begin by 2009, and it will probably become operational by 2010," said the company's president, George Bujtor.

The facility will have an annual production capacity of 10,000 metric tons of nickel, he said.

The company is yet to decide whether the facility will use high-pressure acid leach processing, heap leaching, atmospheric leaching or blast furnace processing.

Bujtor added that the company had already exported 384,385 tons of nickel laterite ore with a nickel grade of 1.5% to China from February to May this year.

Exports this year could reach a maximum of 900,000 tons of ore, and are expected to increase to around 1.5 million tons in 2008, he said.

Forward prices of nickel are expected to remain above $27,000/ton in the next two years, even though prices have fallen by over $20,000/ton over the past month, Bujtor said.

He said low nickel stocks will prevent the price of the metal from falling further.

The Berong project is the world's fourth largest undeveloped laterite nickel deposit.

Berong is a joint venture project between Australia's Investika Ltd. (IVK.AU), Toledo Mining Corp. PLC (TMC.LN) and local miner Atlas Mining Consolidated Corp.

-By Rhea Sandique-Carlos, Dow Jones Newswires, 63-918-9014158; rhea.sandique-carlos@dowjones.com [ 18-07-07 0620GMT ]

If these "ball park" numbers are anywhere near accurate Berong alone would be generating gross sales of 200million in 2010 on top of ongoing sales of unprocessed ore. Tmc,s share 56% still makes the shares look cheap.

They do on those figures, but market unimpressed at the moment, next support should be around 260-280, if it gets there will certainly add, but holding at moment. Nursing a loss which is not getting any better day to day. Need a fillip in Ni price now.

Away next week so It will probably come when not in a position to do anything about it. Sod's law will always kick in...

Shorters have declared themselves to be going long after reaching their 300p target yesterday. There should be some positive movement in sp now as news is due on Friday or Monday. There is a rumour that Berong Nickel Company may be floating on the market, to raise cash to build the processing plant, keeping all profits in house. I have deliberatly been not posting lately, to see which way this BB was going without my input. Good luck to all holders, see you at the party.

A more positive start than recently.

How's that for impeccable timing, I start posting again and the price shoots up 13p at moment.

Oily have you been your hols? we need you to stear this thread

Do not panic, I believe the price is being moved down to cushion the blow on market when the next RNS is released. Should be now. SP will jump after newsflow.

I doubt that the new offer will fall below the old bid. Hence the larger spreads they can give the impression of disaster on an SP with nothing happening.Ye who have faith hold tight.