Griffin Mining

GFM is now within 10 days of commencing production and as it has stock piled zinc ore during the mine construction period the company should be in a position to forecast with confidence that it will comfortably beat not only the brokers current forecast but also the later extrapolated projections prepared by me to reflect the prevailing higher zinc price. Those projections were for earnings of 3.33p this year and 12.1p for 2006.
The income will also facilitate a more extensive drilling and exploration programme, not just for more zinc, but also gold so there is scope for a steady and positive news flow after the 15 May production start date and the publication of their results around that time.
The shares have been overlooked by the market as the current price does not reflect the transition from pure exploration company to production/income producing status.

brian,

where did you hear that please?

I could do with 28 per hour! (only kidding)

I agree with the ramping comment from ADVFN, one guy is predicting 2.50 per share! LOL!

Clearly there is good potential upside here, and a bidder would have to offer a premium, but that's all, they are hard nosed businessmen, not charitable institutions.

Tomorrow may be interesting.

I don't know about 28 a post but the fact that a fund manager was recently
done for posting false & misleading information for his own gain proves how
far some will go imho.....

As far as today's news article goes, i don't doubt we will be on many vultures
radars but i wonder whether this is recent information they have heard or just
a re-hash of past rumours?

E K is shorting GFM , he may have done it in the past but would he short it now of all times.

http://hometown.aol.co.uk/coopbluechip/myhomepage/business.html

That's a link to the news that the black bird put up.

As for the 28 a post for rampers I think I heard it on a radio programme?

The talk about takeover swirled about almost a year ago by the Sunday Telegraph when the share was sitting about 27p the figure quoted was anything upwards of 50p! I brought into the sock not long after as a long term punt. the shares then where shorted in Germany for months until they hit the 16p mark.

I held my nerve and eventuallt sold out my position when they where at an all time high of about 37p I felt they looked full value with house broker price tag of 27p.

The rumours will probably come through but its worth noting that about 9 out of 10 deals never come through. Im gonna get back into this stock when it hits 30p again on the basis of its credentials! Buyinh at 30p is a sure way to make money in a few days the way this one bounces....It still is a very lucrative takeover due to the price of Zinc and the fact that every element of drilling to production went to plan (very unusual) tomorrow should be interesting, i really hope I get a chance to get back into this one incase a 50p bid does emerge.

I'd love to know who had that 15% stake.

I don't think we'll have long to wait. The Mail/Sunday Mail have long been fans of GFM and have been remarkably reliable in terms of timing of announcements! Anyone would think they have an inside track although this time round the Resultys are known to be ready for publication! I haven't seen their comment today; did it say more than has already been posted?
What is urgently required is a company broker forecast update. The forthcoming results would provide that opportunity and the drilling results/gold assays need to be in plain English, ie not requiring a Geology degree. If they don't use this moment to do so maybe GFM will need to consider seriously that now is the time to change their broker to an organization more suited to their new status.

Griffin Mining Ld
09 May 2005

GRIFFIN MINING LIMITED
9 MAY 2005


GRIFFIN MINING LIMITED

PRELIMINARY STATEMENT OF RESULTS
FOR THE YEAR ENDED 31 DECEMBER 2004

Griffin Mining Limited ('Griffin' or the 'Company') has today published its
results for the year ended 31 December 2004.

The Company recorded a profit for the year to 31 December 2004 of $398,000
compared to a loss of $20,000 in 2003.

Foreign exchange gains of $939,000 were achieved on foreign currency deposits in
2004 compared to $476,000 in 2003, whilst interest income increased to $507,000
in 2004 compared to $90,000 in 2003. Operating costs in 2004 increased to
$1,048,000 (2003 $586,000) as a result of increased activity with the
development of the Caijiaying zinc gold mine in China. Shareholders' funds
increased from $13,365,000 at 31 December 2003 to $29,336,000 at 31 December
2004, with the benefit of the profit for the year, a placing of 35,000,000 new
ordinary shares, and the exercise of options and warrants over 7,100,000 new
ordinary shares, to raise a total of $15,630,000 after expenses. With completion
of these capital raisings, which fully fund construction of Griffin's zinc gold
mine and processing facilities at Caijiaying, exploration and development costs
incurred to date of $6,419,000 have been reclassified as tangible fixed assets
in accordance with International Financial Reporting Standards. Further
expenditure of $10,037,000 was incurred in constructing the mine and processing
facilities to 31 December 2004. Dry commissioning has now commenced and
construction costs are in line with that estimated in the feasibility study
produced in August 2003.

Mladen Ninkov, Chairman commented as follows:

After a long, arduous and frantic 7 years, having weathered the doom merchants
and scaremongers, the Company stands ready to deliver on its promises with
completion of construction of the Caijiaying processing facilities and the
development of the underground mine workings at Caijiaying. As we go to press,
dry commissioning has begun at Caijiaying and, by the time of the Annual General
Meeting of the Company, full production should have commenced. To our
knowledge, Caijiaying will be the first foreign owned and built, new hard rock
mining operation in China in over 100 years.

The last 7 years have shown management to have made some significant and
positive decisions. The Company now has a project almost in production with no
debt on its balance sheet, no hedging commitments and substantial cash balances.
This is a unique and extremely strong financial position for the Company to
find itself in. The Company is not hampered by penury commercial bank
covenants, nor the need to pay interest on any debt and has not been hamstrung
by the obligation to sell forward its base and precious metals production.
Significantly, the Company was able to avoid the need to appoint an EPCM
contractor to build the Caijiaying facilities on a 'fixed price' contract basis,
a usual requirement of bank financing. Instead the Company itself has
controlled the building of Caijiaying due to its strong balance sheet position.
The cost savings to shareholders have been substantial.

This does not mean, of course, that the Company will rest on its laurels. The
Company operates on the well known expression, 'If you are not moving forwards,
then you are moving backwards.' However, unlike so many other mining companies,
the success of Caijiaying will not be dissipated by leveraging into an unwise
acquisition or joint venture. Caijiaying still has enormous, untapped
potential.

In the first instance, the Company will immediately start examining the
viability of expanding its production to 150% of its planned first year
throughput. That will be a primary focus of the Company. Secondly, a huge
amount of ground within the Company's licence areas at Caijiaying require both
primary and secondary exploration for precious and base metals. That also
remains another primary focus of the Company. Thirdly, the Company will
continue to investigate, conduct due diligence and make calculated decisions on
any future mining acquisitions. These may occur anywhere the management
believes it can find extraordinary value with a project which can weather a
commodities downturn and provide the necessary shareholder returns. Inevitably,
our first country of interest has been, and will remain, China. Although we
have examined many acquisitions in China, none has yet met the mining,
metallurgical and financial criteria we have set for the Company. The Company
remains optimistic that such a project will be offered in due course following
the commissioning of Caijiaying.

Further information

Mladen Ninkov - Chairman Telephone: +44(0)20 7629 7772
Roger Goodwin - Finance Director
Griffin Mining Limited

Philip Davies Telephone: +44(0)20 7953 2000
Charles Stanley & Company Limited


Griffin Mining Limited's shares are quoted on the Alternative Investment Market
(AIM) of the London Stock Exchange (symbol GFM).

Very positive statement...does anyone know when the AGM is???

The AGM is usually around the beginning of June. I did hear that it might be on the Friday, 10th June. I am confident that this year's AGM will provide much more information on the real value of what GFM has found and a timetable for drilling in new areas, particularly the southern end where they have already indicated there are richer gold deposits.

What a perverse market we're in. GFM's recent good news is rewarded with a weakening share price. This stock was plagued with shorting problems eminating from Frankfurt some time ago. It would be unjust if they were to be hit again by the same misleading information.Maybe when further drilling results come through that will catch out any shorters if they are trying the same again..

Just found out that the AGM is planned for the morning of Friday, 10th June in the West End. Expect the Board to announce more news then on both increasing production quicker than originally planned and the programme for assessing the gold reserves in the south of the permit area.

Another week and still Shares mag. ignores this stock! That's in spite of the company going into production this week.

sharesure, you sound as exasperated as a few of us did on the seo thread this time last year. then , just when you give up hope of ever getting a mention , tim freeborn does his fillyaboots full page spread!!!!

No doubt they will jump on-board once the sp doubles......
Strange how many sells their were today considering how close we are to minestart though each to his/her own strategy.......

bosley, I hope that you are right! But hasn't Tim Freeborn left to join Evolution?
dibbles, in my view it'll only double when the brokers do their stuff with giving proper updates to their forecasts. The last ones were based on lower finds, a lower zinc price and lower production target. If they don't produce something soon I reckon there will be plenty of calls at the AGM on the 10th June for them to be replaced by a more pro-active firm with maybe more clout with institutions. My concern is someone making an opportunistic bid for them and getting away with it. I still don't know if the company is aware of who bought the 15% RAB stake. The turnover suggests it is not being/has not been sold in the market.

yes he has , sharesure , and he has taken his tip with him. he is still very bullish on seo.

I've tried getting Shares mag re interested but they just won't play. They don't even factually report news from GFM, it's as if the company doesn't have a quote! Maybe a share tip sheet will pick them up, they need more exposure since they are too cheap on their current fundamentals.

Whats happening with GFM......we have now passed date when production should have started, but not a word....not a RNS from them sating few days delay or anything......im getting worried....if there's problems with component machinery, i wish they would tell us......it's just the silence.........

I am sure we will hear something soon as the chairman said in his statement ' All that remains now is for the market to understand and value the unique project and position Griffin has in China. We await the day.'

I think that day will be upon us very quickly :-)
Di