Griffin Mining - golden future! http://www.basemetals.com/

GFM deserves a new thread after todays AGM. For the first time the venue was packed with shareholders, a tribute to the interest and support the company has for what the Board has achieved. For those unable to be at the meeting here are some of the points I noted which may interest folk on this BB.

Production: dry and wet testing now completed and zinc concentrate comes through the smelter next week. Zinc price on the LME is currently $1300/ton. GFM is being offered $1700/ton at the mine gate. This premium reflects the demand and difficulty local industry has in sourcing this basic metal ( As an aside the chairman reported that zinc is not easily and efficiently extracted as a recycled metal so newly mined zinc is always required). Cost of production is $595/ton ($700/ton if all depreciation costs are included). Labour costs are $1000/worker pa cf an Aussie underground worker of $130,000/worker pa. Apparently the 20m.pa worker migration from agricultural to industrial jobs means that there are queues of applicants wanting jobs at the mine; wage inflation is not an issue. 240+ employees on site to run the mine on a 24/7 basis.
Production can be increased w/o further investment for a throughput of 400,000 tons of ore pa; An increase to 500,000tons pa would require further investment of between $1m and $2m . All plant has been purposely over-engineered to ensure capacity can rise reliably and with back-up facilities (eg 3 boilers, 2 of which are back-up)
H&S is to world stds., setting an example to the rest of the Chinese mining industry which has a poor record currently because of the number of small private mines.

Reserves: 14.5years supply on current zone rising to 25 years in zone 3. Chairman showed an independent report which believes that the closure of many existing zinc mines is now producing a supply gap which will continue to improve the zinc price cycle to year 2012.

Profits: No problems known or foreseen to the repatriation of profits. However the chairman stated that the profits might achieve more for shareholders if the company uses these for further exploration and possibly buying back the companys shares. The latter move might help resolve the current shorting problem where it is thought that between 6 or 7 million shares are currently being shorted. This move could have a highly geared effect on increasing the share price and help deter the shorters/stock bashers from further activity.

Exploration: Chairman says company will be drilling a further 18,000m over the coming summer months and in his personal view he expects the company to steadily move towards becoming a gold mining concern, with some of the profits from the zinc smelting funding that work. An RC rig which costs 33% of the cost of a diamond drilling rig has been brought on to site.
Future exploration areas always being looked at + changes in Chinese Ministry of Land & Resources policy towards funding means that GFM will likely be offered many more prime government held assets in the near future.

Personal view is that GFM is a well and responsibly run mining company which is now likely to really grab a lot more attention as the profits start to flow as of next week. I am sure others on this BB at the meeting can fill the gaps where I have missed anything.

Results are expected to be good and I like the sound of 139p which dosn`t sound unrealalistic.

hope not is this is any thing to go by and as someone as said already @ preseant
they are saying it could be lifted to 1.30 which would be a new year high.

Don't you just love GFM!! ...looking back to last year there was a 40% increase in share price from 60p- 101p leading up to the results and a couple of weeks beyond.
This year we had a market retracement which took GFM with it down to 90pish in March and a 40% increase on this would give us 126p but I have a good feeling we are going to get to 130p and above this year.
Di
dyor etc ...just musing really

Whats made griffin jump 5.5p today not complaining just seems a lot for one day
thats all.

Good results announced on 30 April see Griffin web site

Yes, and they went from 122p down to 109p , so that doesn't answer why they have gone up today.

It appears there is going to be a divided payed next week on the 6 see back of shares mag its got it in there it stated in the end of year figueres.

GFM's prospects look good, according to my reckoning after giving the news releases a quick scan. production increases ought to see this go higher.

FWIW I think part of the recent SP drop (apart from possible profit-taking) could be due to the fact that someone, somewhere included GFM in a list of "overblown Chinese stocks".

But I find it difficult to see how one can argue with 500,000tpa of zinc concentrate by end of 2007 and plans for gold, silver and lead recovery from the tailings.

I haven't bought (due to funds being tight, also considering other options), but thought I'd throw in my two penn'orth.

Good luck to holders. PDYOR, etc.

GFM's prospects have never been better and go from strength to strength - see below


Profit from China without leaving home

Shanghais stock market tumbled last week but you can take advantage of Chinas rapid growth through shares listed in the UK

David Budworth and Kathryn Cooper


CHINA, one of the most hotly tipped markets of recent times, has been prompting comparisons with the dotcom bubble after soaring 50% this year, only to drop 4% last week when the government sought to calm the frenzy.

Millions of Chinese investors have been ploughing their savings into the market in the hope of better returns, with almost 30m share trading accounts opened this year alone four times the total for the whole of 2006.

The recent flotation of Belle International Holdings, Chinas largest retailer of womens shoes, was more than 500 times oversubscribed by private investors. This is reminiscent of the frenzied flotation of Lastminute.com in March 2000, at the absolute peak of the tech boom, which was 40 times oversubscribed. The shares soared nearly 50% after issue, before plunging back.

There are even concerns that speculators have been borrowing against the value of their homes to invest in the stock market.

Tony Dolphin of Henderson, a fund manager, said: The Shanghai A index is up 155% in the past nine months and has soared through 2,000, 3,000 and 4,000 with hardly a pause in a manner reminiscent of the Nasdaq index in 1999 and 2000.

Alan Greenspan, the former American central banker who warned of irrational exuberance during the tech boom admittedly three years before it burst said he feared a massive contraction in Chinese stocks.

Last Wednesday, the government took steps to calm the frenzy when it trebled the stamp duty on share trading from 0.1% to 0.3%, which hit Shanghai shares and spread through the rest of Asia. Western markets escaped unscathed, however, unlike in February when a 9% fall in Shanghai knocked shares around the world.

Most analysts say that a further sell-off in China should not hit the rest of the world too hard, at least in the longer term, because it is still such a small part of world markets, and because its Asian neighbours are much stronger than they were in the last regional crisis in the late 1990s.

Kevin Gardiner, head of global strategy at HSBCs investment-banking arm, said: The A-share market [the Shanghai market used by domestic investors] is largely insulated from global indexes, and still relatively small at just 2.5% of global markets.

As we saw in late February, a material setback in Shanghai could doubtless trigger some contagion in the rest of the world, at least in the short term. Looking further ahead, however, we think that the global indexes can shrug off localised setbacks in some emerging markets because we suspect that there is potential for growth surprises from the rest of the world, including America.

Hugh Young of Aberdeen Asset Management also believes any collapse would only have a very local impact. He said: Chinas stock market is a domestic bubble with little foreign participation. The apocalyptic view is that the bubble will burst and cause an economic slowdown that would then hit the rest of the world. But I think it is a classic speculative bubble that will end in tears but will largely affect domestic share traders. The global impact will be limited.

A setback in China could even bring some buying opportunities in other shares. While Shanghai markets look overvalued at 48 times earnings, Chinese firms listed in Hong Kong, known as H shares, are at just 19 times earnings, according to HSBC Investments.

There may even be opportunities closer to home, in Londons Alternative Investment Market, where scores of Chinese companies have listed in recent years. Some are trading at price/earnings ratios of just 10, according to Patrick Evershed of New Star Asset Management. He said: If the Chinese market tumbles, so will these stocks but companies that are growing strongly and are on a low p/e shouldnt be as badly affected as most.

We asked the experts to recommend Chinese shares you could invest in closer to home.

China Shoto

The firm makes most of its profits selling batteries for mobile phones. China Mobile, the countrys largest telecoms provider, is one of its biggest customers. Mobile-phone use is getting a big boost because 3G technology is being introduced for the Beijing Olympics next year. The shares cost 176p on Friday.

Evershed said: Another big growth area for the business is batteries attached to bicycles, driven by the need for cheap transportation. Production of these bike batteries has gone up by 50% over the past two years to meet the strong demand.

Griffin Mining

This is not strictly a Chinese company it is domiciled in Bermuda and its main office is in London. However, it makes most of its profits from mining and processing zinc, which is used to galvanise steel, at a mine 124 miles from Beijing. Its shares cost 112p.

Evershed said: Griffin has been growing rapidly. Its turnover in 2005 was $6m (3m), last year it went up to $43m and in the current year it is expected to rise to $63m. The company has $40m of cash on the balance sheet so its a good long-term growth stock.

Renesola

Merrill Lynch, the investment bank, thinks shares in this Chinese solar-panel maker could soar from 539p to 800p over the next year.

However, Giles Hargreave of Marlborough Fund Managers issues a note of caution. He said: Renesolas shares were cheap when it came to the market but as investors have recognised their value they have shot up. I have taken some profits after such a successful run but I still think it has some way to go.

Prosperity Minerals

China has become the worlds largest cement producer with an output of 1 billion tonnes a year. Domestic demand is expected to reach 1.2 billion tonnes by 2010. Cement is expensive to move around so it needs to be made by local firms such as Prosperity, one of Hargreaves favourite stocks at 153p.

Haike Chemicals

This company refines crude oil into gasoline and diesel in China and its business has boomed as the economy expands. At present it is forced to sell its oil at artificially low prices set by the government, but these controls are expected to be lifted later this year. The shares currently cost 194p.

Standard Chartered

It was rumoured recently that Chinas new state investment fund could take a stake in the emerging-markets bank, lifting its shares. They currently cost 17.27.

Charles Deptford at Baring Asset Management would not be surprised if a takeover bid materialises. He said: This would be a strategic investment for the Chinese government as it would boost its global financial profile. It would also give it direct exposure to other parts of Asias financial markets.

Even if it is not taken over, it is still a good bet on Chinese growth because two-thirds of its profits come from the region.

Funds

Most of the funds available to UK investors steer clear of Shanghais A shares and invest instead in Hong Kong, or other countries such as Korea and Taiwan that have benefited from the China bandwagon. Justin Modray of Bestinvest, an adviser, recommends funds such as Aberdeen Global China Opportunites and First State Global China.

Hi
Could anyone tell me if they have received their dividend payment yet ?
I use the IWeb platform, and they tell me they haven't received the payment.
Thanks.

I received mine in the post last thursday or friday, if that helps at all

Could there be an announcement in the offing today re. a rise in our stake, looking at the rise in the sp today ?

tudwick...I think it is just a rise in mining prices in general

Fair enough, wishfull thinking on my behalf i guess

Griffin Mining Ld
11 July 2007

GRIFFIN MINING LIMITED

60 St James's Street, London SW1A 1LE, United Kingdom

Telephone: + 44 (0)20 7629 7772 Facsimile: + 44 (0)20 7629 7773

E mail:
griffin@griffinmining.com



11th July 2007



GRIFFIN RAISES 75 MILION THROUGH PLACEMENT TO CITADEL



Griffin Mining Limited ('Griffin' or the 'Company') and entities affiliated with
Citadel Investment Group, L.L.C. ('Citadel') have agreed terms for a placement
of 68,181,818 million shares at 1.10 per share for total proceeds of 75
million. This will take Citadel's shareholding in the Company to 77,181,818
shares representing 29.51% of the enlarged share capital of the Company. Post
completion of the placement, the Company will have 261,509,549 ordinary shares
on issue. Admission of the shares to trading on AIM is expected by the end of
July following execution of a subscription agreement.



This will bring total cash balances in the Company to over $200 million with no
debt. The proceeds of the placement will be used for acquisitions and
furthering the Company's stated corporate objectives.



Citadel has agreed for a 3 year period:



1. not to acquire additional shares in the Company in an amount
that exceeds 5% of the outstanding shares of the Company in any 6 month period;



2. to grant the Company a right of first offer on any disposal
by Citadel's shares and the right to match any offer by a third party for any
such shares. In the event that Citadel offers any shares to the Company, the
Company will have three months to identify a buyer for such shares; and



3. that it will not make a takeover bid for the Company without
the support of the Chairman unless a third party first makes a takeover bid for
the Company.


The Company and Citadel also expect to cooperate as the Company seeks future
growth and expansion opportunities, including, with respect to potential
investments in China.



The parties have agreed that the Company should implement an appropriate
management incentive programme after the subscription. In furtherance of this,
the Board has resolved to issue a further 23.75 million options over the
enlarged share capital of the Company, exercisable at the subscription price,
the terms of which will be finalised with the finalisation of the Subscription
Agreement between the Company and Citadel.



Chairman Mladen Ninkov commented, 'This is a milestone for the Company. It
signifies the Company's status in the international investment community, it
recognises the Company's pre-eminent position in China and it provides the
financial means to undertake and complete almost any mining transaction the
Company can reasonably foresee. We could not be more pleased.'





About Citadel Investment Group, L.L.C.



Citadel is one of the world's leading financial institutions focused on
alternative asset management strategies. The Citadel group of companies employ
over 1,000 professionals at headquarters in Chicago and across its offices
around the world, including New York, San Francisco, London, Hong Kong and
Tokyo.





Further information


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

Adrian Hadden / Christopher Rollason Telephone: +44(0)20 7523 8353
Collins Stewart Europe Limited

Hugo de Salis Telephone: +44(0) 20 7242 4477
St Brides Media & Finance Ltd



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



The Company's news releases are available on the Company's web site:

www.griffinmining.com




This information is provided by RNS
The company news service from the London Stock Exchange

This is still my favourite share and long term even more a winner now :-)
Griffin Mining Ltd
10 September 2007


GRIFFIN MINING LIMITED

60 St James's Street, London SW1A 1LE, United Kingdom

Telephone: + 44 (0)20 7629 7772 Facsimile: + 44 (0)20 7629 7773

E mail:
griffin@griffinmining.com


10th September 2007

OUTSTANDING ZINC & GOLD DRILLING RESULTS

CONFIRMATORY RESULTS OF PROBABLE AMALGAMATION OF ZONES II & III AT CAIJIAYING


Griffin Mining Limited ('Griffin' or the 'Company') is pleased to announce the
latest exploration results from its Caijiaying Mine and adjacent ground.


Drill intercepts of high-grade gold have been obtained in the mine area at Zone
III as well as significant regional exploration results which suggest a second
multi-metal mine is likely to be established at Zone II, 1.2 kilometers to the
south of the Caijiaying Mine.


These results coincide with the planned start of production of gold, silver and
lead from the Caijiaying processing plant upgrade due for completion before the
year's end.


Best intercepts from Zone III included:


12.45 metres at 7.45% Zinc and 8.55 g/t Gold
12.35 metres at 8.31% Zinc and 6.15 g/t Gold
31.7 metres at 6.2% Zinc and 6.07 g/t Gold
4.3 metres at 17.54% Zinc and 20.65 g/t Gold


Best intercepts from Zone II included:


47.54 metres at 7.68% Zinc
28.25 metres at 9.20% Zinc
22.25 metres at 9.19% Zinc
12.6 metres at 9.15% Zinc


Zone III Mine Resource Extension Drilling


Diamond drilling aimed at extending known resources at the Caijiaying Mine
continues to find new discoveries. In particular, a number of high-grade gold
intersections have been recorded from zinc lodes beneath the current mining
level in the western part of the deposit. Better intersections in recent drill
holes include:


Hole ID From To Interval Zn Pb Ag Au
metres metres metres % % g/t g/t

UGCJY-938 43.70 95.90 12.45 7.45 0.30 74 8.55
UGCJY-939 67.75 80.20 12.35 8.31 0.22 30 6.15
UGJCY-940 46.00 58.35 2.20 6.61 0.05 37 6.22
UGCJY-875 45.20 47.40 2.20 17.14 0.34 59 9.85
UGCJY-854 55.00 92.95 28.60 7.30 0.53 54 2.41
UGCJY-922 49.05 77.65 2.15 6.49 0.16 33 5.77
UGCJY-857 41.00 43.15 4.30 17.54 0.53 162 20.65
' 53.55 57.85 4.30 6.79 0.17 32 4.94
UGCJY-855 61.45 96.15 31.70 6.20 0.04 23 6.07
UGCJY-895 4.30 36.00 5.30 8.80 0.04 38 3.77
UGCJY-811 44.40 49.70 14.00 15.69 0.79 52 1.86
UGCJY-913 71.00 85.00 14.00 5.03 0.29 10 0.32
' 91.00 101.00 10.00 12.90 0.43 17 0.16
UGCJY-846 48.00 59.00 11.00 11.20 0.35 18 -
' 67.00 73.00 6.00 8.45 0.18 11 -
' 98.00 112.00 14.00 8.10 0.09 49 -
UGCJY-908 48.00 61.00 13.00 10.00 0.11 69 3.10


Many of the ore zones show good geological continuity and remain open along
strike and down-dip. The mine schedule will be altered to enable further
drilling in these areas to determine the full extent of the gold zones and to
ensure that the precious metals circuit of the process plant is fully
commissioned before treating such high gold grades.


Regional Exploration


Excellent drilling results have also been received from the ongoing underground
drilling program at Zone II, located approximately 1.5 kilometres south of the
Caijiaying Mine.


Thirty-seven holes of the 50-hole program have been completed, with ore-grade
results received from thirty-six of those holes. The high grade results of lead
and silver should be noted. Following completion of the program, a maiden
resource estimate will be completed to enable development decisions to be made.
Better intersections (above 5% Zn + Pb and a 1% lower cut-off) are shown:



High-grade Drilling Results - Zone II

Hole From To To Zn Pb Ag Au

metres Metres Metres % % g/t g/t
UGFOX-002 40.72 45.90 5.18 5.11 3.99 106 1.07
UGFOX-004 87.20 90.50 3.30 5.36 - - -
' 142.54 145.87 3.33 0.95 7.38 246 0.79
UGFOX-007 119.55 122.60 3.05 5.92 - - -
UGFOX-013 28.55 36.10 8.45 1.08 4.2 94 -
' 93.00 115.25 22.25 9.19 - - -
UGFOX-014 28.68 34.50 5.82 8.38 4.32 92 1.21
' 103.20 113.10 9.90 11.71 - - -
UGFOX-018 144.70 156.30 12.60 9.15 1.37 51 0.66
UGFOX-022 101.95 105.67 3.72 5.14 - - -
UGFOX-031A 51.82 55.22 3.40 4.44 1.94 51 1.22
' 134.01 181.55 47.54 7.68 0.61 28 0.21
' 134.01 140.70 6.69 12.07 0.31 18 0.17
UGFOX-032 143.30 171.55 28.25 9.20 1.38 33 0.31



Griffin has also completed an 11 hole surface diamond drilling program which
tested targets defined in a 2006 IP geophysical program south of the Caijiaying
Mine between Zones II and III, and targets based on historical drill holes.
Ore-grade mineralization has been discovered at one IP target and one drill hole
target.


2007 Surface Drilling Results - Zone II - III

Hole From To To Zn Pb Ag Au
metres Metres Metres % % g/t g/t

DDCJY-006 163.00 173.84 10.84 3.66 - - -
' 200.50 203.55 3.05 7.42 - - 1.65
' 231.75 242.10 9.25 3.45 - - -
DDCJY-009 80.31 84.06 3.75 5.38 7.88 140 0.59
' 115.00 127.57 12.57 5.47 1.38 72 -
' 196.40 204.27 7.87 4.18 - 29 -
' 207.62 211.00 3.38 12.34 - 14 -
DDCJY-011 80.68 90.69 10.01 7.88 - 39 -


The IP target is situated just 300 metres south of the Caijiaying mine access
decline (Holes DDCJY-006 & 009), which provides an opportunity for rapid
development of this area. Follow-up exploration is planned by branching off the
decline to enable underground drill testing. The mineralization is thought to
be an extension of a Zone III orebody displaced by faulting.


Drill hole DDCJY-011 is located 230 metres northeast of Zone II where historic
Chinese drilling intersected some broad zones of lower grade mineralization.
Essentially, this target is a northern extension of the Zone II mineralisation
which was too far away for the current underground program to reach.


Both successful targets are currently being followed up by a further surface
diamond drilling program as a pre-cursor to extending underground access for
detailed drill outs.


The technical data contained in this disclosure has been compiled and approved
by Mr. Timothy Blyth, Ass Dip (Geology), MAusIMM. Mr. Blyth is a full time
employee of Hebei Hua Ao Mining Industry Company Ltd, and is the Operations
Manager at the Caijiaying Zinc Mine. He is a geologist with 24 years relevant
experience in the mining industry. Mr. Blyth is a member of the Australasian
Institute of Mining and Metallurgy and qualifies as a Competent Person as
defined in the Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves (The JORC Code).


Chairman Mladen Ninkov commented 'The successful results from both the northern
and southern ends of the valley, south of the Caijiaying Mine in Zone III,
provides further proof to the Company's long held belief that Zone II and Zone
III will eventually be proven to be one continuous orebody. Taken in
conjunction with the outstanding gold results from the Caijiaying Mine area, it
begins to show the true size of the Caijiaying mineralized system and the
potential for further increasing the Caijiaying Mine's production of zinc, gold,
silver, lead and other by-products. I am so pleased for the loyal shareholders
of the Company'


Further information

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

Adrian Hadden Telephone: +44(0)20 7523 8353
Collins Stewart Europe Limited

Hugo de Salis Telephone: +44(0) 20 7242 4477
St Brides Media & Finance Ltd


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

The Company's news releases are available on the Company's web site:


www.griffinmining.com

Griffin suspends zinc concentrates sales; sees sales, profits below market hopes - AFX

LONDON (Thomson Financial) - Griffin Mining Ltd said it suspended all sales of zinc concentrates until the new year due to the temporary retracement in zinc price, and warned sales and profitability for the year to Dec 31 will be below current market expectations.

However, the company said it expects normal resumption of concentrate sales in 2008 with accelerated sales and profitability in the first half.

The company said the relatively low zinc prices being offered at the moment is due to the 'significantly greater' Chinese exports of physical zinc.

Griffin said the situation was temporary as the 5 pct rebate that Chinese zinc exporters enjoy will end on Jan 1, when a rumoured 5 pct tariff will be imposed.

The company added it will stockpile zinc concentrate at Caijiaying in China.

TFN.newsdesk@thomson.com

Now heres a share I'd expecting to bounce, just how low will it go though??

When are they due to start producing gold, must be soon?

Thanks Aldwick, I enjoy reading your posts.