cwericb Posted May 6, 2011 Share Posted May 6, 2011 Yup, bought some more today as well with mixed feelings. Paid $14.79 a couple of weeks ago.Paid $11.93 today. That`s a 20% drop. Since there seems to be an unwritten rule that whatever I buy takes an immediate drop, I hereby apologize to the other shareholders on this board for whatever damage my purchase does to them today. Link to comment Share on other sites More sharing options...
Liberty Posted May 6, 2011 Share Posted May 6, 2011 cwericb, since what I buy drops and what you buy drops, maybe those two put together will mean that it'll skyrocket? Who knows how that stuff works ;) Link to comment Share on other sites More sharing options...
cwericb Posted May 6, 2011 Share Posted May 6, 2011 Haha, its like some kind of friggin rule isn't it? Buy and the price takes a dive. Well at least we're up a bit today so far. But it does get sort of discouraging at times. Alderon has been having a decent day as well. I don't know if commodities are leveling off or just taking a breather before they continue to drop. The only thing that gives me confidence is that the population of Asia is not going to disappear and now that they have had a taste of the good life, they are only going to want more of everything. Also I think I read today that this drop in commodities has not had much of an impact on iron ore. Link to comment Share on other sites More sharing options...
Liberty Posted May 6, 2011 Share Posted May 6, 2011 I just learned something about iron ore pricing, via Wikipedia: Iron ore market Over the last 40 years, iron ore prices have been decided in closed-door negotiations between the small handful of miners and steelmakers which dominate both spot and contract markets. Traditionally, the first deal reached between these two groups sets a benchmark to be followed by the rest of the industry.[2] This benchmark system has however in recent years begun to break down, with participants along both demand and supply chains calling for a shift to short term pricing. Given that most other commodities already have a mature market-based pricing system, it is natural for iron ore to follow suit. Although exchange-cleared iron ore swap contracts have developed over the past few years, to-date no exchange has established a proper futures market for the largely seaborne $88 billion a year iron ore trade.[6] To answer increasing market demands for more transparent pricing, the pan-Asian multi-product commodity and currency derivatives exchange for global trade Singapore Mercantile Exchange (SMX) is planning to launch soon an iron ore futures contract, subject to regulatory approval from the Monetary Authority of Singapore, based on the Metal Bulletin Iron Ore Index (MBIOI) which utilizes daily price data from a broad spectrum of industry participants and independent Chinese steel consultancy and data provider Shanghai Steelhome's widespread contact base of steel producers and iron ore traders across China.[7] This move follows a switch to index-based quarterly pricing by the world's three largest iron ore miners - Vale, Rio Tinto and BHP Billiton - in early 2010, breaking a 40-year tradition of benchmark annual pricing.[8] Link to comment Share on other sites More sharing options...
biaggio Posted May 7, 2011 Share Posted May 7, 2011 My impression is that commodity sell off mostly involved the more speculatively priced metals (mostly silver) and energy with financial buyers reassessing their appetite for risk. In general I am in the Jeremy Granthem + Jimmy Rogers camp in regards to commodities. By the was ALS.TO will not drop until I increase my holding (then it should drop another 20%). I was tempted today but did not pull the trigger. Link to comment Share on other sites More sharing options...
cwericb Posted May 7, 2011 Share Posted May 7, 2011 Glad to know I am not the only one who precipitates a drop in everything I buy. I also took a plunge in RIM the other day - just to keep my streak going. As for silver, this is somewhat of a replay of the Hunt brothers trying to control the market back in the 70's where there was just no justification for such a quick run up in price. But in the long run I can't see any reason why commodities are not going to be increasingly in demand in the future. When a major portion of the world's population has not been allowed to participat in the modern age and then over a relatively short period of time gain the ability to acquire all of those perks the western world takes for granted it, has to generate an incredible demand. All of those products that they want require vast amounts of natural resources - and we are talking about billions of new consumers. Once that movement has started, once those populations have have had a taste of modern luxuries it is like broaching a dam. That desire will not be stifled and, while prices may get a bit ahead of themselves at times, I am not convinced that we have a bubble that is about to burst. A correction for sure, and that is healthy and it is corrections help keep bubbles from forming. My 2 cents worth anyway. Link to comment Share on other sites More sharing options...
Liberty Posted May 9, 2011 Share Posted May 9, 2011 Dazel, if I might ask, what is your average cost for ALS and since when have you been buying? I'm just curious. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 9, 2011 Share Posted May 9, 2011 Mr. B http://www.consolidatedthompson.com/i/pdf/news/july_20_09.pdf At the top of the page it's headline is $240m investment...the assumptions are mine as I stated earlier. Very tough to find info on Companies from china. Dazel. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 9, 2011 Share Posted May 9, 2011 Mr.B, Sorry I did not the other post there! http://www.cleveland.com/business/index.ssf/2011/01/cliffs_natural_resources_to_bu.html The deal is to close in "early spring"...I do not know if they waited for the closing to get their cash or sold their shares out in the open market. So if they waited they will get paid soon. Dazel. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 9, 2011 Share Posted May 9, 2011 Average price. I will tell you when I am done buying... Dazel. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 9, 2011 Share Posted May 9, 2011 Liberty, I will tell you that we have been buyers just about everyday. Looks like we all may have been bidding! This stock is pretty illiquid. We have contemplated talking to management about their buyback program. They are in negotiations all the time...Alderon, NLRC, and the other ( active projects)..so it would make sense to do automatic buybacks that are regular in nature and are not done on new information. However, that woluld have hurt all of last week as they would have taken out most of the bids out.They are only allowed 9k in shares a day I believe though. In 2008, they took out 10% of their outstanding shares which was a great use of capital. We would like to see them do something similar in the future. We think it is a great use of their cash hoard...at these levels we think it may be their best use of capital. Dazel. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 10, 2011 Share Posted May 10, 2011 Altius share buy backs. http://www.altiusminerals.com/files/PR0211-NCIB.pdf 9200 shares is their daily limit (above)... http://www.altiusminerals.com/files/PR0812.pdf This was their load up on shares below $6...great purchases! http://www.altiusminerals.com/files/PR0817-NCIB.pdf interesting that in 2007 that averge purchase price was above $13 (below) http://www.altiusminerals.com/files/PR0717.pdf Dazel Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 10, 2011 Share Posted May 10, 2011 Mr.B, Here is your answer...closing (cash) May 12th. The final clearance was given by China today. http://finance.yahoo.com/news/Cliffs-Natural-Resources-Inc-prnews-3359078098.html?x=0&.v=1 ...I would think Alderon would be in play on May 13th...from both parties...the market liked Cliffs purchase as it was great for the stock...why not pick up more reserves next door? As for input or interest from the other parties we shall see. Dazel Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 11, 2011 Share Posted May 11, 2011 http://finance.yahoo.com/news/Alderon-Intersects-29-Iron-iw-657365906.html?x=0&.v=1 Alderon continues to have positive drill results. Dazel. Link to comment Share on other sites More sharing options...
Liberty Posted May 11, 2011 Share Posted May 11, 2011 http://finance.yahoo.com/news/Alderon-Intersects-29-Iron-iw-657365906.html?x=0&.v=1 Alderon continues to have positive drill results. Dazel. That sounds like potentially great news. When they say: "The goal for the updated resource is to delineate 800 million to 1 billion tonnes at a grade between 28-32% iron ore." Those tonnages are huge. Can you explain a bit what they mean here? Is that just what they're looking for, or do they have some confidence that this is what they can find based on those early results, but it's not yet a sure thing? Link to comment Share on other sites More sharing options...
BRK7 Posted May 11, 2011 Share Posted May 11, 2011 Altius and Alderon are both down about 4% today. I recognize that both the TSX and TSXV are also down today, though not nearly 4%. I'm new to the story here, but, given that ALS and ADV are both selling off relative to the broader market, I would conclude that the information contained in Alderon's press release today may have been viewed as disappointing by the market. Maybe I'm oversimplifying. Can anyone offer a context in which to interpret the Alderon press release? What are the market expectations in terms of output from Alderon’s mining activities? Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 11, 2011 Share Posted May 11, 2011 Liberty, Alderon's site is excellent...it compares grades and resource size to TCL and to Cliffs who are next door...their iron type are virtually the same at Bloom Lake compared to Alderon...big difference however, TLC should close tomorrow and is producing 8mty or (million tones year). The 1 billion ton target is being drilled now and today was another big step towards that goal. Dazel. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 11, 2011 Share Posted May 11, 2011 "Altius and Alderon are both down about 4% today. I recognize that both the TSX and TSXV are also down today, though not nearly 4%. I'm new to the story here, but, given that ALS and ADV are both selling off relative to the broader market, I would conclude that the information contained in Alderon's press release today may have been viewed as disappointing by the market. Maybe I'm oversimplifying. Can anyone offer a context in which to interpret the Alderon press release? What are the market expectations in terms of output from Alderon’s mining activities?" I can never explain the market behaviour as we know people sell on emotion. Alderon actually opened up until the commodity complex fell apart. Oil was down 4%. Altius is very illiquid and moves quickly in both directions. As I said in the other post I would look at Alderon"s website they have done a good job explaining what they are looking for, where they are in Labrador (Thompson consolidated and Cliffs are next door...look at the map they have posted it is very detailed... and they do good comparison's of themselves vs Thompson consolidated. In a perfect world that is who they want to become. Dazel. Link to comment Share on other sites More sharing options...
MrB Posted May 13, 2011 Share Posted May 13, 2011 Dazel, I think we're missing each other here. I'm referring to the what appears to be the 19.9% stake purchased by WISCO in 2009 for $240m, as mentioned in your earlier post. That deal was done and dusted in 2009 correct? If so then how much cash, presumably $240m, has changed hands? If not, why not? Count me a skeptic when it comes to most of the high flying deals by Chinese companies. I've like to double check for REAL transfer of value. From your description, it sounds like it was a simple cash for shares deal. So, that is why I asked the question about the cash. Anyway, not important. It sounds if you did your homework. Link to comment Share on other sites More sharing options...
Guest Dazel Posted May 15, 2011 Share Posted May 15, 2011 Mr.B, I get what you are saying now. I really have no way to know whether the 19% stake was a straight cash infusion in 2009 or whether it was a combination of future orders and then equity. However it was structured..Wisco got paid out in cash for their 19% stake on May 12th 2011. Cliffs now owns it all. http://finance.yahoo.com/news/Cliffs-Natural-Resources-Inc-cnw-3687103961.html?x=0&.v=1 We can only hope that Alderon has half the success of Consolidated Thompson. It really was a job well done by that team especially going through the 2008 ad 2009 financial meltdown. Congrats to them! Dazel. Link to comment Share on other sites More sharing options...
beerbaron Posted May 17, 2011 Share Posted May 17, 2011 Doubled my position today. At the current price it's a net-net. BeerBaron Link to comment Share on other sites More sharing options...
Liberty Posted May 17, 2011 Share Posted May 17, 2011 I have also increased my position. Mr. Market is going crazy. Link to comment Share on other sites More sharing options...
finetrader Posted May 17, 2011 Share Posted May 17, 2011 have also increased my position. Mr. Market is going crazy. I'll meet you when it is below 10$ Link to comment Share on other sites More sharing options...
naboo Posted May 17, 2011 Share Posted May 17, 2011 I have also increased my position. Mr. Market is going crazy. Lucky guys. I kept buying in the past couple of months, just felt like buying FFH in 2006 and 2007. Now really no cash left. Link to comment Share on other sites More sharing options...
naboo Posted May 17, 2011 Share Posted May 17, 2011 have also increased my position. Mr. Market is going crazy. I'll meet you when it is below 10$ Just wondering, who is selling ??? Link to comment Share on other sites More sharing options...
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