Tip by Tom Winnifrith on investment website T1PS.com on 07.10.04 :
"In the mining world, Caledon Resources raced ahead by 0.75p to 5.125p after website t1ps.com upgraded its stance from "hold" to "strong speculative buy." Last time this website tipped Caledon the shares more than trebled in three months before members were advised to sell half their holdings so guaranteeing a three figure return. The website argues that the risk/reward trade-off now looks more attractive than ever and suggests that corporate activity within the subsector (Chinese gold explorers) is about to explode"
http://www.caledonresources.com//
Trades over 300,000 Shares are delayed in reporting by 1 Hour.


On fundamentals ALL exploration companies without resources can be said to be overpriced. The only assets they have which can have a hard-and-fast value assigned to them are their bank balances.
People invest in explorers because they believe that the projects/management/geo team have the potential to develop valuable mineral deposits. The share price usually reflects the market's opinion about this potential.
In the fulness of time, if Caledon discover deposits which can be proved up to contain a couple of million ounces, those that bought at 5p or even 15p will be seen to have been correct (or fortunate!) in their assessment of risk/reward.
Some details below from the recent WHI broker note on Palladex, I am not suggesting for a moment that anyone go buy Palladex this is just for comparative data where you will see the value of a company compared to it's in-situ gold.
Point is where will CDN be once they show one project is as big as they and we hope by giving an estimate by end of 2004 ?

Caledon Overview:
Caledon Resources PLC is a public company listed on the Alternative Investment Market of The London Stock Exchange (trading symbol: "CDN"). Its mission is to become the leading gold exploration company in “The Golden Triangle” of Southern China

Caledon has assembled a multi-talented, technically oriented management team - one of few with in-depth knowledge and experience in China. All members have over 15 years experience in evaluating hundreds of East Asian sediment hosted disseminated gold deposits
Advanced stage gold exploration focussed on under-explored producing gold mines in China - Exploration active on four advanced stage gold projects: Hengxian, Gaolong, Badu and Mojiang
Caledon’s primary focus: Sediment Hosted, Disseminated Gold Deposits (“Carlin-type”). Quoted from the United States Geological Survey (USGS Open-File Report 02–131): “It is likely that many of the Carlin-type Au ore districts in China, when fully developed, could have resource potential comparable to the multi-1,000-tonne Au resource in northernNevada.”

Corporate Summary
Caledon Resources PLC is a public company listed on the Alternative Investment Market of The London Stock Exchange (trading symbol: "CDN") and has been domiciled in the UK since February 2003. The Company’s primary focus is to enhance shareholder value through the opportunistic evaluation of fertile under-explored gold districts, resulting in the exploration, discovery and development of world-class gold ore bodies. The Company is currently focused on project evaluations and exploration for sediment hosted disseminated (“Carlin-type”) gold deposits situated in Southern China, although other styles of mineralisation are being assessed if they have multi-million ounce potential.

Caledon’s principal area of focus is Guangxi Province where it has negotiated joint ventures with The Geological Survey of Guangxi and is in the process of forming additional joint ventures with the Chinese National Gold Corporation.

Caledon has signed a joint venture agreement covering the Longtoushan Gold mine and 350 sq km’s of surrounding tenements in Guangxi Province as well as joint venture agreement covering various exploration areas under the control of The Geological Survey of Guangxi.

In addition, advanced exploration property acquisitions and joint ventures are being evaluated in Guangxi with The Chinese National Guangxi Gold Corporation and other joint ventures are under negotiation in Yunnan and Guizhou Provinces.

In order to exploit this opportunity, Caledon has assembled a team of geologists whose main focus over the past 15 years has been to identify and evaluate gold occurrences and deposits throughout South East Asia on behalf of several major mining companies.

Of the 300 plus gold occurrences and districts identified and screened over the years by Caledon’s team, five distinct gold districts have emerged as top-priority ranked targets, based on their geological similarities with the multi-million ounce gold districts found in the State of Nevada, U.S.A (“Carlin-districts”). The USGS has identified the so called “Golden Triangle”, consisting of the provinces in which the Company is focused (Guangxi, Guizhou and Yunna), as having similar style mineralisation to the Carlin deposits in Nevada.

To date, five highly ranked areas in Guangxi Province have been identified by Caledon’s team. Applications for mineral titles have been submitted on all five districts and joint ventures are being negotiated where applicable.

Recognising the need for foreign mining investment, in parallel with China’s entry into the World Trade Organisation, the country has adopted a number of sweeping changes that have recently been enacted in their mining legislation. In the country’s bid to attract foreign investment and mend the fractured structure of their mining industry, the Chinese government, through powers delegated to the provinces, allows foreign ownership of up to 90% in mineral titles and producing gold assets. In addition, various tax incentives exist to help foreign gold explorers and producers.

Perhaps the most relevant change recently enacted in China, involves the evolution towards complete transparency within the Chinese gold markets. Companies can now buy and sell gold on the Shanghai Gold Exchange, which quotes gold prices in line with the London Gold Fix rates. Additional mechanisms are currently in place to allow for repatriation of profits from Chinese-based, foreign-operated gold mining operations. Further enhancements are expected within the year.

The group now has all of the key primary ingredients in place in order to position the group for maximum returns.

Those key ingredients are:

highly experienced, South East Asia based technical management with proven exploration abilities,
acquisition / title lock on a number of properties hosting potential multi-million ounce disseminated gold deposits, and
an appropriate amount of financing in place allowing the group to conduct a meaningful first-pass exploration program within these districts.
Given the sweeping changes that China’s mining law has recently undergone, Caledon is well positioned to maximise gold exploration opportunities that exist in the country.

It is likely that many of the Carlin-type Au ore districts in China, when fully developed, could have resource potential comparable to the multi-1,000-tonne Au resource in northern Nevada.”

These are not my words, but the words of the US Geographical Survey or the (USGS). To read there full report on Carlin Deposits you need to go to the link -
http://geopubs.wr.usgs.gov/open-file/of02-131/OF02-131.pdf

The Projects
Hengxian Gold Mine - The Hengxian project is a classic example of a sediment
hosted disseminated gold system ("Carlin-type"), with considerable exploration
potential. At Hengxian, gold is being mined in a north-east trending zone
measuring up to 3 kilometres long and up to 800 metres wide. Gold occurs in
steeply dipping, high grade feeder structures (> 4.5 g/t gold avg.), feeding
flat-lying moderate grade (1-4 g/t avg.) stratiform zones. To date, at least
four sub parallel feeder structures have been defined. The gold mineralisation
occurs on a major regional structure that can be traced for more than ten
kilometres away from the existing workings. Access and infrastructure in the
area is excellent - Hengxian is a two hours drive from Caledon's office base
situated in the Guangxi Provincial capital, Nanning.

Previous exploration has been almost entirely focused on shallow oxide zones.
Gold resources at Hengxian are reported to be 310,000 ounces (Inferred category)
grading approximately 4.6 g/t gold - with those resources having been defined by
only a limited amount of shallow focused drilling, concentrated on the surface
oxide zones (0-60 m depth). Exploration to date has only been focused on a small
- 2.5 kilometre long - portion of the entire 10 kilometre long structure,
initiated on obvious outcropping oxidised sulphides.

Summary results from drilling conducted on Hengxian Hill by Caledon's minority
partners, Taifu Mining, defining the near surface limits of the deposit, include
the following:

Section Hole Number Depth (m) Intercept (m) Grade g/t Au
44 ZK 14 13 50.6 2.02
435 ZK 4351 25 10.1 8.0
ZK 4351 49 14.5 5.03
43 ZK 432 45 41.4 6.44
ZK 5 49 31.0 8.8
ZK 19 102 27.0 4.0
425 ZK 251 50 42.5 3.91
ZK 4255 103 29.1 6.93
ZK 4252 72 12.8 6.16
ZK 4252 90 18.6 4.02
415 ZK 152 42 20.7 3.0
ZK153 65 13.9 4.68
41 ZK 16 10 11.1 3.79
ZK 411 33 24.6 4.0

Intervals between known areas of higher grade mineralisation carry significant
disseminated gold mineralisation, typical of such gold deposits. For example,
drill hole ZK19 reported a 27 metre wide interval grading 4.0 g/t gold,
occurring within a much wider down-hole interval reporting a width of 133 metres
grading 3.24 g/t Au.

Gaolong Gold Mine - Gold has been actively mined at Gaolong by Caledon's
minority partners, Guangxi Tianlin Gaolong Gold Mine Ltd Co for over 10 years.
At Gaolong, surface and limited underground mining can be traced in a
semi-continuous manner over a strike length in excess of three kilometres, with
mining widths averaging 10 to 30 m, to a maximum of 60 m wide.

The Gaolong mine itself is ranked in the top two gold producers in the province
and has been cited by the United States Geological Survey (USGS) as having
distinct similarities to the 15+ million ounce Betze ore body situated in
Northern Nevada, USA (USGS OP 02-131).
Results from past drilling performed at shallow depths immediately adjacent to
zones being mined by the Chinese at Gaolong, are a testament to the bulk minable
nature of the Gaolong ore bodies themselves (i.e. Section #30 - 4.1 g/t over
10.8 m, 3.2 g/t over 33.4 m, 4.7 g/t / 31.3 m). The immediate extensions of
these open-ended zones will form the focus of gold exploration to be undertaken
in 2004.
In the 4th Quarter, 2003, Caledon reported results from a preliminary channel
sampling program at Gaolong, as part of the effort to identify drill targets on
the project. The following is a summary of results from this initiative:

Channel # Sampled Width Gold Grade
Channel 1 44 meters 2.5 g/t
Channel 2 10 meters 3.9 g/t
Channel 3 14 meters 2.4 g/t
Channel 4 28 meters 2.7 g/t
Channel 5 22 meters 2.3 g/t
Channel 6 12 meters 3.3 g/t

Badu Gold Mine - Small scale mining is in progress at the Badu Mine, situated 12
kilometres North East of the Gaolong mine. The Badu mining and exploration
tenements are included within the Gaolong master agreement. The GTGGML's
open-pit mining operations at Badu can be traced in a semi-continuous manner for
over four kilometres along strike, with mining widths averaging 20 to 40 m. Gold
is recovered in the heap leaching of oxide ores, with average head grades of 1
to 2 g/t gold. Caledon is aware of only 1-2 shallow drill holes having being
completed over the entire four kilometre strike length.

Mojiang Gold Mine - A letter of intent has been signed regarding Mojiang Gold
mine. Active mining has been underway at Mojiang since the late 1970s by the
Mojiang Mining Limited Company. The mining at Mojiang was based on reserves of
32 tonnes of gold (>900,000 oz) at a grade of 4-6 g/t Au. At present, the
majority of the gold mining operation is focused on gold production from open
pits and underground mining, with plant head grades consistently reporting above
4 g/t gold. To date, approximately 70% of the initial reserves have been mined.
At Mojiang, individual veins, averaging up to 12 metres wide, have been shown to
host grades in excess of 15 g/t. Individual veins sometimes exhibit bonanza
grades (in-excess of 30 g/t gold), typical of such systems. The veins are hosted
in sediments and acid volcanics, near the contact between thrusted Cambrian
sediments and metamorphosed ultra-mafic volcanics belonging to a regional scale
ophiolite complex, within the Red River Suture Zone.
Examples of diamond drill intercepts at Mojiang highlighted from the earlier
Chinese work include:

Section # Drill Hole Mineralised Intercept
Section 50 DDHZ50-6 41.62m @ 3.34 g/t
Section 51 DDHZ51-16 28.22m @ 4.89g/t
Section 52 DDHZ52-10 53.98m @ 2.72g/t
Section 40 DDHZ93-1 7.93m @ 13.67g/t
Section 40 DDHZ93-1A 8.39m @ 9.00g/t
Section 40 DDHZ94-3 12.35m @ 15.05g/t

Contact Information
London Office
18 Upper Brook Street
London W1K 7PU
United Kingdom
Tel: + 44 20 7318 5780
Fax: + 44 20 7318 5781
Stephen Dattels - Chairman
sdattels@caledonresources.com

Donal Douglas - Deputy Chairman
ddouglas@caledonresources.com
George Salamis - Managing Director
gsalamis@caledonresources.com
Manish Kotecha - Company Secretary
mkotecha@caledonresources.com

RAB hold 23,159,144 shares now out of the 213 million shares in issue. A big 10.9% stake.

!!!!!!!!!!!!!!!!!!
!!!! THURSDAY !!!!
!!!!!!!!!!!!!!!!!!

New York Institutional Gold Conference & Diamond Expo
New York Marriott Marquis June 2 - 3, 2004
Preliminary CONFERENCE AGENDA (As of 5/27/04 Noon)

Thursday, June 3 8:30 am
Advanced Gold Projects in Southern China
George Salamis, Chief Executive Officer
Caledon Resources PLC (Sponsors)

WHO WILL ATTEND AND WHY?
Professional and private investors attend this annual conference to meet with established producers, promising new explorers and highly respected financial analysts. The industry's most important recent developments and opportunities are presented and pursued in this highly charged professional arena.

WHO WILL SPONSOR AND WHY?
Sponsors return to this conference year after year to nurture relationships forged with analysts, portfolio and fund managers, investment specialists and financiers, sophisticated private investors and fellow mining executives. Held in the financial heart of the world, this is the industry's most effective forum in which to raise capital.


!!!! If our CEO makes a good impact you WILL see BIG buyers on friday !!!!

I dont really to spoil the party but RAB is a hedge fund company...... it is great news for the short term of CDN but just be careful as hedge funds have the anoyying habit of dumping loads of shares for profit as soon as prices go up, thus lowering the price.

To answer that Xmortal:

1 They expect a multi-bagger
2 They will take less if a drop looks on the cards
3 They will dump the lot quickly if it starts to look dodgy
4 CDN are currently out of favour
5 CDN will be back in favour short-term
6 They think enough of CDN to hold 23,159,144 shares
7 When news breaks of a big discovery they will sell the lot at or near the peak
8 If (unlikely) the mining sector starts dropping before CDN hit the big one they will sell the lot at a loss (if they can find a buyer for that many !)

________________________________________________________________________________

This means that he is always prepared to take a profit or cut a loss and is able to job his way out of any difficulties
The other difference between Richards investment policy and those of many other fund managers is that he is prepared to take quite big positions in very small stocks
He rationalises his investment policy by saying that he buys a stock when it is out of favour and sells when a queue has formed to buy
As the name suggests Special Situations seeks just that - special situations - and when the managers see another sector on the trot their funds will move in that direction

Sue, thanks i agree with those points, and i am sure CDN will rise. Just to make people aware if it really goes up head for the exit when it reaches dizzy heights.

P.S Xmortal, I haven't ignored your post on BGY, I will duly provide an update for you on BGY this friday after I have taken my last exam on Thursday.

Company World Gold Council
TIDM
Headline Gold Demand Trends 1Q04
Released 07:00 2 Jun 2004
Number 3012Z


PRESS RELEASE

WGC Reports Gold Consumer Demand Up Q1 2004

London, 2 June 2004: Figures published today by the World Gold Council reveal that consumer demand for gold has improved over the last year. Consumer demand for gold (jewellery and net retail investment) was up by 12% in tonnage terms, and by 30% in dollar terms, in the first quarter of 2004, compared to the somewhat depressed levels of a year earlier.



The World Gold Council reports that although complicated by the sharp upward movement in the gold price, consumer demand for gold actually increased in monetary terms during the period since 2001.



Commenting on the supply/demand dynamics for the first quarter 2004, James Burton, Chief Executive of the World Gold Council (WGC), said: In the face of a 55% rise in the dollar gold price, historically we would have expected consumer demand to recede due to the sensitivity of Asian and Middle Eastern markets to price volatility. Actually this quarter, the money flowing into gold from consumers was 37% up on Q1 2002 in dollar terms, and 25% higher than in Q1 2001, demonstrating a positive underlying trend.



He warns, however, that the global economic and political uncertainty of Q1 2003 depressed the figures of the same period a year ago. It is fair to say that confidence is returning to gold, yet gold continues to face competitive pressures for share of wallet in all of its key markets, he said.



Jewellery Demand

Among the markets participating in the recovery in jewellery demand for gold, strong year-on-year rises were recorded in India (21%), Vietnam (36%) and Turkey (38%) in tonnage terms. Highlights for the largest international markets are:



India and East Asia
- Jewellery demand was up in India by 21% in tonnage terms and 33% in local rupee terms on Q1 2003. This is due to favourable (rupee) price trends, a strong economy, and rural consumers (who account for over 60% of demand) benefiting from the after effects of 2003s generally good monsoon.



- In China demand rose by 6% in tonnage terms and 23% in price (renminbi) terms. Despite the booming economy, demand for gold jewellery is still somewhat dampened by the overhang from the earlier restrictions and state controls. The strongest demand in the quarter was for 18 carat gold. This follows the WGC-backed K gold initiative that promotes 18 carat gold, both yellow and white, in Italian-inspired design. This has been selling well with 60-70% of demand in white gold, demand for which has also been stimulated by the high price of platinum.



Middle East and Turkey
- The strong oil price provided a background of consumer optimism in Saudi Arabia and UAE, where both countries reported strong year-on-year rises in tonnage terms, with an increase of 11% and 22% respectively.



- Jewellery demand showed a 14% recovery in Egypt helped by price trends and by the reduced black market rate for the US dollar. Jewellery imports resumed following the disappearance of the local price discount to international prices and scrap outflows lessened.



- Sustained high economic growth coupled with strong promotional spending and heavy media coverage resulted in jewellery demand in Turkey leaping by over a third in tonnage terms from what was already a strong Q1 in 2003.



USA
- Jewellery demand in Q1 in tonnage terms in the USA was 6% higher than a year earlier (23% in dollar terms). The year started well, albeit from a depressed Q1 2003, with a strong Valentines Day and this positive trend has continued into Q2.



Industrial Demand
The first quarter of this year saw a steady rise (8% in tonnage terms and 26% in dollar terms) in industrial demand for gold. The improvement began in mid-2002 as the beneficial technical properties of gold were increasingly employed within new electronic products, and the electronics industry recovered.



Investment Demand
Net retail investment is up 14% year on year in tonnage terms. Demand in Japan was particularly strong (up 48%) on the back of continued concern over the economy. In Vietnam, demand more than doubled.



After the heady rise seen in 2003, net institutional investment demand paused for breath in the first quarter. Demand was brisk in January fuelled by the markets expectation of further price rises as well as growing interest in commodities and in alternative investments generally. However, the fall-back in the gold price caused a natural shift in many investors attitudes; as existing profits were taken, new investment dried up.



Supply

Overall supply of gold was 7% lower in tonnage terms than one year earlier.



The first quarter of 2004 saw the announcement of the renewal of the Central Bank Gold Agreement (CBGA 2)* in March, confirming the importance of gold as a central bank reserve asset. Net central bank selling of 96 tonnes was lower than a year earlier with sales by Switzerland, Norway and routine sales by the Philippines, partly offset by an acquisition of 28 tonnes by Argentina.



Early indications for Q2 2004



Jewellery
Initial indications are that demand for jewellery continues to remain robust in key markets and comparisons with Q2 2003 will be favoured by the effect of SARS a year ago. Provided there is no sudden price increase, consumer demand should be generally higher in tonnage terms than a year earlier. This is not expected to be the case in India, despite a good May wedding season, because of the exceptional levels of Q2 2003.



Initial import numbers for the US suggest that there has been some recovery in demand, whilst the immediate outlook for all the Middle East regions, including Turkey, is for continued good growth off the back of soaring oil prices and strong economies.



James Burton added: While early indications are positive, it is the World Gold Councils function to play a key role in maintaining momentum, and ensuring that gold jewellery is a desirable and relevant product for women in our key markets. Overall, we anticipate that the results of initiatives with leading retail partners will start to have a positive impact on figures going forward. In addition, our promotional activities in China, which saw the introduction of K-gold in Beijing in the beginning of Q2, and our Italian-designed Gold Expressions range, which has been promoted throughout all of our major markets, will help to build on the early positive results of Q1.



Investment
The speculative sell off of gold investment appears generally to have continued, and may have intensified. However, volumes may be positively affected by the increase of tonnes in trust in the WGC-backed Gold Bullion Securities (GBS). When re-launched in the beginning of Q2 in response to market feedback, GBS saw a doubling of net assets under trust to US$660m**.



Central Banks
In Q2, we will continue to see controlled sales of gold by some central banks within the confines of the Central Bank Gold Agreement.



James Burton commented: Now that the central banks have concluded the second CBGA in a timely fashion, the market is likely to take any further central bank activity in its stride. The renewed agreement has set an official framework and will prove to be a significant anchor for the gold market in the future.


Contact:

For further information, contact Anita Saunders, head of public relations, on 0207 826 4716, or 07769 682373 or e-mail anita.saunders@gold.org.



Footnotes:

* Like its predecessor, Central Bank Gold Agreement (CBGA 2) will run for five years, from September 2004 to September 2009. The maximum amount of gold that can be sold is higher than CGBA 1 at 2,500 tonnes (compared with 2,000 tonnes) over five years. Interestingly, while the first agreement specified that sales each year would be around 400 tonnes, under CBGA 2 sales each year will be a maximum of 500 tonnes.

**Correct as of 26 May 2004.



Notes to Editors:



The demand statistics in this note are compiled by GFMS Ltd for the World Gold Council (WGC). The commentary is supplied by the WGC.



Copyright 2004. The World Gold Council (WGC) and GFMS (Gold Fields Mineral Services) Ltd. All rights reserved.



The use of the statistics contained in this press release is permitted for review and commentary (including media commentary) with the clear acknowledgement of GFMS as their source. Whilst every effort has been made to ensure the accuracy of all information used in this document, neither GFMS nor the WGC can guarantee such accuracy and neither GFMS nor the WGC accept responsibility for any losses or damages arising directly, or indirectly, from the use of this document.





World Gold Council
The World Gold Council (WGC), a commercially-driven marketing organisation, is funded by the worlds leading gold mining companies. A global advocate for gold, the WGC aims to promote the demand for gold in all its forms through marketing activities in major international markets. For further information visit www.gold.org.






END

Here we go, gone blue.

5.75 on the offer, up 4.7%.

I'm still with you Sue! was in @ 5.8 last tues, gave me 300 within 2 hrs, left in on the table :o(. Spread a little wide at the mo.75?

Should remain a good buying opportunity day today under 6 pence...then should go pass 6 pence tomorrow morning. The upper bollinger band has started rising again from 6.2 pence and should see further upward movement tomorrow.

Nice to hear from you Chartist.

Sue - lets hope so, 7p would give me a good week end! :o))

500,000 at 5.25 pence, looks like a buy to me from this morning when the offer was at 5.5 pence. There was nothing else which caused the offer price to go up...

If it's a sell, still good as the MMs paid a premium of 0.25 pence to the bid for that amount of stock.

Strong Buying reported towards close today...good buying volume returning again.

SueHelen I thought as I was driving this afternoon that I should have wished you good luck in your final exam - I hope it went well and wish you every success you deserve and of course pass on your expertise for us to all be 'successful'

The sequence on the bollinger bands is exiciting as we move into an upward trend. They were coming down first, got tight which is very good, straightened and now the lower one has ticked up today...This is a bullish sign of an uptend emerging.

Momentum and MACD still rising and at levels last seen at the beginning of April 2004.

Tick up, 5.25-5.75 pence now.

Hello SUE. Could you please take a look at BGY now!!!!! please, it has broken resistance at 12.20!!! I am very sorry to all for posting this, maybe you all can make some money with BGY too!!

I don't have the time till tomorrow evening Xmortal when I will duly have a look as I have stated before. I am trying to pack all my belongings at university today...it is my last ever day tomorrow until graduation.

Thanks Fonty.

There is practically no downside from these levels which I can assure everyone about which can be observed by looking at the charts and indicators. Our decline ended on May 18 since then the bollinger bands are turning in our favour...
We have room for a rise to 5.75-6.25 pence now...don't want anymore just yet otherwise our uptrend will be spoilt. This is what we want at the moment small increments...0.25 gain yesterday and 0.25 pence today...same will do nicely tomorrow. Then next week we should be looking at bigger gains...

Price closed at 5.25-5.75 pence. Tomorrow should be the last opportunity to buy these under 6 pence. Should get to 6 pence on the offer sometime tomorrow.