Better carry on here Cynic....not in yet but very interesting....how's that bridge across to China getting on ?

33% to be precise. Still,despite yesterdays fall there was a good deal of buyers about.
How do you feel about this one now cynic.You were quite an enthusiastic supporter a while back.
The key obviously has to be the ability to gain financing from somewhere or other.

i was an unequivocal fan, but POG, it's parent, has also fallen badly out of favour, so i am currently more comfortable being out ...... i suspect or am almost sure that ORE has a good future, but as we all know, commodity prices have collapsed of late, and that includes iron ore, and until we see a proper recovery underway, i do not think this is a company or even sector into which one should put new money.

by the way, it's worth just keeping an occasional eye on the baltic index which will give you a good clue as to where things are heading.

i am expecting more - already made a packet end last week - in for more and already well up - 20p + easy soon! gl

BRIEF-Aricom confident on in line 2008
AFX


LONDON, Nov 4 (Reuters) - Aricom PLC:

* Remains confident that 2008 production will be in line with the most recently

published forecast

((London Equities Newsroom; +44 20 7542 7717))



(For more news, please click here)



COPYRIGHT



Copyright Thomson Reuters 2008. All rights reserved.

production or profitability? ..... big difference!!

Question?
Where is the best place to look to view chart movements of metal and mineral prices?

Try top of the page at http://www.thebulliondesk.com for metals.

Thanks Harry

LME must have a site, and Kitco certainly does

"Aricom, the Anglo-Russian developer of mineral resources, is pleased to announce that it has entered into a non-binding Memorandum of Understanding ('MoU') with China Metallurgical Group Corporation ('MCC'), one of the largest equipment manufacturers in China and a leading Chinese contractor to the metals and mining industry.

The MoU relates to the construction of Aricom's proposed 10mtpa iron ore beneficiation plant to be located at the Group's K&S project. The MoU provides the basis for discussions between Aricom and MCC concerning the signing of an engineering, procurement and construction agreement ('EPC' contract) based on an internationally recognised form of contract (such as the International Federation of Consulting Engineers (FIDIC)) for fixed price, EPC/turnkey projects.

MCC is the leading state construction company in China with a focus on EPC, engineering services, equipment fabrication and resources investment. It has undertaken construction contracts for a significant number of iron ore and steel projects in China.

Jay Hambro, Chief Executive of Aricom, commented:

'I am pleased that Aricom has entered into this memorandum with MCC, which is the largest state contractor in China. Despite the current financial market volatility, I believe in the strength of our project portfolio and any resulting construction contract would be a significant step forward for the development of the Aricom project portfolio'"

Sounds pretty good Harry,though I understand that the Russian stock market was suspended yet again today after hefty falls.

"Aricom plc announces that it is making changes to the operational plan for the Kuranakh project in response to current market conditions.

Operations at Kuranakh involve mining, crushing and screening in order to generate a pre-concentrate. During 2008, Aricom has been selling the pre-concentrate at prices which have generated a positive contribution. The Olekma beneficiation plant, once commissioned, will upgrade and divide this pre-concentrate into iron ore (titanomagnetite) and ilmenite concentrates.

Given the current market conditions, the Board believes that the value of the project, as a whole, is best served by suspending sales of pre-concentrate to await commissioning of the Olekma plant in mid-2009 and, in the meantime, scaling back mining activities in order to minimise operating costs. Aricom expects that the capital expenditure required to finalise the Kuranakh project will be c.US$30m.

Commenting on this announcement, Jay Hambro, Chief Executive, said:
'Realising initial income from Kuranakh has been a considerable advantage and it is unfortunate that the market no longer supports the economic value in sales of pre-concentrate. Despite this short term setback, we are confident that the Kuranakh project will be a profitable contributor to the Aricom portfolio when the Olekma plant is commissioned in 2009 to realise sales of the higher margin iron ore and ilmenite concentrates even in this depressed market for all commodities.' "

What are the prospects now for Aricom?
All the bad news must surely be there!

don't expect a recovery any time soon i'm afraid

Is the problem twofold?

1)The Russian "political" issue, - that puts such operations into uncertanty

2)The CommodityMarket issue, - that no-one wants raw materials - there being plenty availably from the usual sources.

It matters very little what their business model is, quality of materials etc...for a combination of these two issues could render the value to zero - and I suspect the Market has got it about right in the circumstances. I don't hold this.

Also , their ability to gain the necessary funding has to be a major concern.One for the back burner?

very heavy volume today, feels like news is coming!!!

Statement re Possible Offer

"Aricom plc ('Aricom' or the 'Company') notes the recent share price movement and confirms that it is in preliminary discussions with Peter Hambro Mining Plc ('Peter Hambro') which may or may not lead to an all share offer being made for the Company at a substantial premium to the current share price.

There is no certainty that any offer will be forthcoming. A further announcement will be made in due course as appropriate."

The Pak Man or Shark game has started.....one of many to come these next 2 years....not in as yet and finding it difficult to put a valuation on this !.

Whatever price Peter Hambro offer they will be getting Aricom on the cheap. Admittedly raw material prices are down and Aricom need investment but they are a top class operation with an excellent asset that will be priceless when raw material prices rise again which they will do at some point in the future.