Red Rock Resources: Half Year Results

Red Rock Resources has released its eagerly anticipated interim statement and accounts for the period ending 31st December 2009 (click here to view).

We expected them to be good, so what were we looking for? Specifically, enhanced valuations in the investment portfolio and a positive forward-looking statement from the Chairman – Andrew Bell did not disappoint on either count! In fact he even produced a nice cherry for the cake, with the expectation of a maiden dividend, subject to all going to plan between now and the Company's year end, in June 2010.

Shareholders will know that Red Rock Resources is growing its business by developing raw ground into potentially valuable exploration assets, generally farmed out into new listed vehicles in which the company then retains a material stake. These holdings are in quoted companies and therefore have a readily quantifiable market value.

As value investors, we will always keep a keen eye on the value of such holdings and at this stage in the game, that is what’s driving value.

But as impressive as the accounts were, they only reflect valuations on investments at the half year stage, as of 31st December 2009. Yes, that’s just three months ago, but at the pace this business is growing, three months might as well be three years. So what about those (rather significant) events that occurred after the balance sheet date?

In his statement Andrew Bell makes reference to post balance sheet events and the marked improvement in valuations. So we decided to take a closer look at the status of “available for sale financial asset’s” at the start and end of the period, and then lined them up against the current state of play. Here’s how it looks:

 

 

Red Rock’s main tradable holding consists of some 93 million shares in Jupiter Mines (ASX:JMS).

With its recently announced transformational deal to acquire 49.9% of the Tshipi Kalahari Manganese project, Jupiter has impressed the markets. As noted, in the interim report, the share price has risen from 19.5 cents at the end of December 2009 to 28.5 cents as of today – a rise of some 46%, worth an additional £5.1 million on Red Rock’s Net Assets Value

Can this rate of growth continue? The company would not rule out further rises, as Jupiter bulks up to become a major player in the steel feed business. Quoting from the Chairman’s statement:

“We support the transaction, which has the potential to make Jupiter one of the world's dominant manganese producers and though it is the first substantial transaction by Jupiter, we believe and hope that it will not be the last."

So back to valuations and although we can’t be absolutely precise here, (as we don’t have access to the detailed balance sheet analysis), at today’s quoted prices we can extrapolate an approximate value for ‘available for sale financial assets’ totalling some £17.4 million, worth around 3p per Red Rock share. So the value of the tradeable assets underpin the current share price and then some.

Any uplift in the Jupiter share price would feed through to Red Rock’s NAV at the rate of AU$930k per point, Resource Star at a more modest AU$136k and Cue Resources at CA$98.9k.

So as value investors we are really quite comfortable with the investment case as it stands, and lets not forget that at current prices, you also get a stake in the 1.2m ounce gold resource at Migori for free!

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.

Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.

All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

Copyright © miningmaven 2010

Ariana Resources: New Exploration Targets

This morning, Ariana announced  geophysical  test results from their Kisiltepe project in Turkey (click here to view). We took the opportunity to put a few quick questions to MD Kerim Sener. Here's what he had to say: 

MM: Can you expand a little on the significance of today's news?

KS:This news represents an expansion of our geoscientific knowledge at the Kiziltepe prospect. In particular it has confirmed that there is potential for the discovery of new vein systems in a region of the prospect that was hitherto underexplored. This particular area had no veins outcropping but hosted a region of extensive quartz float, that could not be explained by surface erosion and transport. There was no other indication in this area for buried vein systems, partly due to extensive ignimbrite cover in the northwest and thin alluvial cover in the southeast, concealing any existing veins. The only way to test the geophysical results is by drilling, which is starting with immediate effect.

MM:What do these results contribute to your understanding of the resource and what do they mean in the context of the proposed JV.

KS:The results have confirmed that the Kiziltepe prospect potentially comprises a much more extensive vein network than considered at the time of its acquisition. Obviously drilling must be completed before we know the extent of any potential resource increase through the identification of new vein systems. With regards the JV it was important to complete this geophysical survey before the feasibility-level planning for the siting of mine infrastructure such as the processing plant, tailings dam and waste rock dump. We certainly wouldn't want to site the plant over a potential buried vein!

MM.Have the results added to the potential scale of the exploration area?

KS:Absolutely, we have to wait on our drilling results but the potential is now there for the further exploration of other anomalous zones in the region in addition to those visible in outcrop.

MM:What does this drill programme entail and what is the broad timetable for completion?

KS:We intend to drill a fenceline of short holes in the area of coincident anomalous rock chip geochemistry (up to 21.1 g/t Au) and high resistivity. This fenceline is designed to identify in-situ quartz veins and/or their related alteration, to confirm the presence of a vein system at depth. At a later stage, and assuming the results of this first phase are positive, we would need to follow up with deeper exploratory holes. Another area which will be drill tested now is the point at which the Arzu and Derya structures disappear through ignimbrite cover rocks. This area shows coincident resistivity and intermittent chargeability anomalies in geophysics and other geological evidence suggests the presence of a buried vein system.

MM.How does this additional information add to your confidence in the viability for Kiziltepe to be a source for production, going forward?

KS:Within the margins of error acceptable in a scoping study we are already confident in the viability of the resource. The scoping study was undertaken independently of Ariana by a reputable international firm with prior experience in mining projects in Turkey and it yielded positive results. The new geophysics adds an element of further belief that the Kiziltepe resource will only continue to grow with further drill testing.

To subscribe to Ariana Resources company updates, click here

To view the latest 2010 presentation from Ariana , click here

To view Kerim Sener's Mining Journal feature on mining in Turkey, click here

Previous Miningmaven articles on Ariana Resources

27th February A Piece of Turkey in the heart of Mayfair!

3 January 2010 Ariana Resources: Buy me a Gold Mine in Turkey!

30 January 2010 Ariana Resources: Going for Gold in "Turnkey" Turkey

10 February 2010 Ariana Resources: Lets get this show on the road!

18 February 2010 Ariana Resources: Limbering up for the Main Event!!

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.
Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.


All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.


Copyright © miningmaven 2010

Webcast: "The Global Infrastructure Opportunity"

Thursday 25th March 4.00pm UK time

US Global Investors, the progressive investment firm headed up by acclaimed fund  manager Frank E Holmes, is holding a free to access web event on Thursday 25th March dubbed "The Global Infrastructure Opportunity".

If you are serious about investing in the resource sector, you wont want to miss this event. Research can be time consuming,  but this accesible webcast will fast track you to some of the smartest minds in the sector. We therefore urge all our readers to take advantage of this opportunity. It starts at 12.pm Eastern Time (4pm UK time), but you will need to sign up in advance (to go to the sign up page click here)

"There are 6.7 billion people living on the planet today, and the population is growing. Growth in emerging markets and the shift of population to urban centres is creating greater demand for resources, services and infrastructure.The estimated needs for infrastructure spending are staggering—trillions of dollars across the world to develop water, energy, transportation and telecommunication infrastructure.

How can you take advantage of these infrastructure investment opportunities?

U.S. Global Investors invites you to participate in this engaging free webcast discussion with members of the portfolio management team for our infrastructure fund, the Global MegaTrends Fund. Also joining the webcast will be special guests from Macquarie North America, a firm that specializes in infrastructure advisory services."

 

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.

Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.

All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

Copyright © miningmaven 2010

Jupiter Mines: CNBC speculative buy - the cheapest way in!!

Jupiter Mines was tipped today as a speculative buy on CNBC today. Red Rock Resources holds 93 million shares in Jupiter Mines, worth AU$28m (£16.8m). Red Rock's entire market cap is currently £12.7m. As our American friends would say - do the math!

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.
Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.


All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.


Copyright © miningmaven 2009

Red Rock Resources: Migori Update

We took the opportunity to put a few quick questions to Andrew Bell regarding todays update (click here to view). Here is what he had to say.

Drilling Campaign Update:

MM.Can you give our readers a brief overview of today’s update on Migori?

AB. The update is about unfinished business from the old drilling, and some work in progress. This just says steady as she goes, and the tailings info is coming.

MM. Were the Kansai Drilling (2007) assay results in line with your expectations and what will this information contribute to your understanding of the resource?

AB.We need the re-analysis of the old work to begin incorporating this data in a go-forward plan. An experienced ex-Newmont gold geo who knows the project will be available after Easter – we can easily spend money going off at half cock but the more time on analysis, the better, and the more expert the analysts, the better. These holes and other post-2004 holes are not incorporated in the resource yet. So there is built-in upside.

MM. You have noted that the data is being reviewed and analysed with the intention of generating a revised NI43-101 compliant resource estimate. How is this going to proceed now.

AB.We need to keep tight control of this project. The original 43-101 writer has died – we want the new gold geo to assist the new person at the same firm. But we are starting talking. The key is to reassemble carefully all the backing information so we can build on what we have.

MM. Your regional prospecting seems to have identified some interesting targets. Could you elaborate on the prospective value of the new targets?

AB.There is huge potential especially in the east. We find so much old info on this and we have over 60km here so we need good people to control the follow up. We cannot charge full speed at every prospect, but we think we have isolated 2 priorities. If we can just show BIF ‘potential’ that is enough for now.

MM.Would you say the latest results add to your confidence in the case for production at Migori ?

AB.Yes. We need to get a handle on the open pittable resource and on the trade-off between more work on the existing areas and work on prospective new resource areas. We need to make sure we conduct exploration in such a way that we never ‘disappoint’ with a set of bad results. Our new geo joining us who has written on the area before is quite confident.

To view Migori simplified geology map click  here

To see latest Value Proposition click here

Go to Videos to see the recent interview with Andrew Bell

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this blog are those of the author and should not be construed as being made on behalf of any featured Company.

Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.

All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

The Author holds shares in Red Rock Resources PLC

Copyright © miningmaven 2010

May We Recommend??

In the wake of the Global Financial Crisis, a plethora of books have hit the market. In time, some may well turn out to be seminal pieces, though most would argue that it is still too soon to tell.

One book which has certainly recieved much critical acclaim is This Time is Different: Eight Centuries of Financial Folly by Carmen M. Reinhart & Kenneth Rogoff. We have now included it in The Miningmaven Book Store at Amazon,  and they are running a special price promotion on it, so well worth a look!

Here's how the sleeve reads:

Throughout history, rich and poor countries alike have been lending, borrowing, crashing--and recovering--their way through an extraordinary range of financial crises. Each time, the experts have chimed, "this time is different"--claiming that the old rules of valuation no longer apply and that the new situation bears little similarity to past disasters. This book proves that premise wrong. Covering sixty-six countries across five continents, This Time Is Different presents a comprehensive look at the varieties of financial crises, and guides us through eight astonishing centuries of government defaults, banking panics, and inflationary spikes--from medieval currency debasements to today's subprime catastrophe.

Carmen Reinhart and Kenneth Rogoff, leading economists whose work has been influential in the policy debate concerning the current financial crisis, provocatively argue that financial combustions are universal rites of passage for emerging and established market nations. The authors draw important lessons from history to show us how much--or how little--we have learned.

Using clear, sharp analysis and comprehensive data, Reinhart and Rogoff document that financial fallouts occur in clusters and strike with surprisingly consistent frequency, duration, and ferocity. They examine the patterns of currency crashes, high and hyperinflation, and government defaults on international and domestic debts--as well as the cycles in housing and equity prices, capital flows, unemployment, and government revenues around these crises. While countries do weather their financial storms, Reinhart and Rogoff prove that short memories make it all too easy for crises to recur.

An important book that will affect policy discussions for a long time to come, This Time Is Different exposes centuries of financial missteps.

Having read Liars Poker by Michael Lewis, (which Punch regards as one of the best business books of all time!) we note he also has a new title out shortly, The Big Short: Inside the Doomsday Machine which by all acounts is set to be another classic.

Heres what they have to say.

"The Big Short" tells a story of spectacular, epic folly. It has taken the world's greatest financial meltdown to bring Michael Lewis back to the subject that made him famous. His international bestseller "Liar's Poker" exposed the greed and carnage of the City and Wall Street in the 1980s; he wrote it as a cautionary tale, but people seem to have read it as a how-to guide. Now, he wants to settle accounts. In this visceral tour to the heart of the financial system, Michael Lewis takes us around the globe and back decades to trace the origins of the current crisis. He meets the people who saw it coming, the people who were asleep at the wheel and the people who were actively driving us all of cliff. How could we have all been so deluded for quite so long? Where did it all start? Was it systemic? Was it avoidable? And who the hell can we blame? Michael Lewis has the answers. No one is better qualified to get to the heart of this labyrinthine story. And no one can make it such an enjoyable ride along the way.

Finally we thought it might be a good time to re-visit our review of Michael Coulson's An Insider's Guide to the Mining Sector: How to Make Money from Gold and Mining Shares, which was originally posted in January this year. So if you are new to Miningmaven, or the sector here it is again: 

Whilst engaged as a trainee Chartered Accountant a partner in my firm told me ‘there is no substitute for quality education and training’. How true.

But then why is it many investors buy and sell shares in Mining and Exploration Companies without really understanding the ins and outs of the commodities involved, the intricacies of exploration or the downright practical difficulty of developing a mine after that blockbuster exploration discovery.

In truth the reason is quite simple; that’s what investors generally do. For those that buy banking shares how many understand interest rate swaps, complex derivatives and collateralised loans? For those investing in pharmaceutical shares how many fully comprehend the stage I, II and III clinical trials? And for technology shares, how many investors can truly grapple with the complexities of the technology in which their companies are engaged??

So it stands to reason that a better understanding of the sector could or should place the average investor at something of an advantage to the wider market. And by wider market I include not only the private investor, but many professional investors, brokers and other market participants as well.

The Miningmaven blog is focused on the Private Investor and our mission is to make the sector more accessible to the average investor by providing common sense commentary and sources for additional research. So where would be a good place to start for all PI’s looking to bolster their knowledge of the Mining and Exploration sector?

We think we may have found the answer in this very easy to read book written by Michael Coulson .

Author:

Michael Coulson has been working with the Mining Sector for over three decades, working within banks and brokers and from 1975 to 1991, producing an annual gold review. His work in recent years has revolved around the provision of independent research for smaller broking outlets who themselves lack the particular in-house expertise.

Review:

This is our first Miningmaven book review so we have decided to look for three essential features in all the titles we identify, namely:

-Breadth of coverage;
- Ease of reading;
- Tools that investors can use in the markets.

Coulson’s book scores well in all three areas. Whilst accessible to all, it is clearly written with the novice in mind. He starts with a non-technical industry overview looking at Mining Countries, Major Industrial Metals (e.g Copper, Zinc, Lead, Nickel etc); Precious Metals; Minor Metals (e.g. Cobalt, Tungsten, Magnesium etc) and Non-Metals (i.e. coal and uranium). He explains each metals industrial usage and place in the market and a special section is given over to an analysis of Gold, which with many investors seems to be a key point of focus.

On top of the commodities and the geopolitical risk of the countries where the exploration and mining is conducted, there is the subject of markets, and Coulson deftly addresses this in a decent review of London, Jo’burg, Sydney, Toronto and New York. No mean feat in just twenty pages!!

He then moves on to a review of mining shares, covering smaller stocks through to the larger organisations. How to build a portfolio; awareness of stock market cycles; understanding company announcements and how to value mining shares.

Now that’s all well and good but many investors are aware of a few horror stories and rags-to-riches tales. Here too Coulson doesn’t disappoint where his look at the Bre-X scandal and the Poseidon Nickel bubble  make compelling reading.

Wrapping up the book with additional sources of information and a ‘take-away’ ten key points, Coulson delivers a thoroughly engaging and insightful read. Essential for those who are serious about making money from investing in the sector - not to mention the need to avoid a personal financial disaster by making the wrong decisions.

I keep my copy next to my computer and usually refer to it more than once a day. For around the cost of a one-way trade, it could prove to be one of your better investments for 2010.

Needless to say you can purchase this title and many more at The Mining Maven book store.

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

Copyright © miningmaven 2010

Red Rock Resources: Driven by Jupiter!

After quite an eventful week in terms of price action, we saw Red Rock Resources  close on Friday at 1.9 –2.15 with heavy trading volumes (13.3m) throughout the day.

This was driven in the main by a strong performance by Jupter Mines overnight in Australia. It certainly seems that the Tshipi Kalahari manganese story has struck the right cord with the market.

No need to remind readers that Red Rock hold 93 million shares in Jupiter mines, which puts Red Rock on a mere AU$931k (or £558k in our own devalued currency) per point.

So last weeks rise in the value of Jupiter Mines shares of 6.5c has added around £3.6m to the value of Red Rock's holding.

It remains to be seen how far Jupiter will run, or indeed if the current price can be sustained. But as stated in our previous post, this means the company can now look to sell down some of its £16.5m holding (at current price) with impunity.

This is just one of the scenarios Andrew Bell pointed to in his video interview with us last month (to view click here). He also suggested that he would not wish to sell down the entire stake in Jupiter, preferring to leave more than a little skin in the Pallinghurst game.

But where Andrew did hang his hat was in his prediction that the moment even a small proportion of the Jupiter holding is sold, it will unlock the current discount to NAV and people will start to see Red Rock in a different light (23 minutes into the video)!

Last week also saw the resumption in trading in Resource Star and if Jupiter’s performance was stellar, Resource Star’s could not have been in starker contrast. 18 months of suspension had clearly taken its toll on some investors as the share price fell around 35% before recovering slightly and stabilising on Friday. The value of Red Rocks 13.4m share holding fell by around £450k accordingly. However we expect events to be news driven here in the short term and as Andrew Bell suggests in the interview, there are deals in the pipleine, so we will have to wait  and see how the market responds!

As mentioned in our previous update, we are looking to rework our value proposition on Red Rock to take into account all events to date. However it is clear that much of the action is still unfolding, so its a bit of a moving target right now.

We therefore felt we would do this more justice by first waiting for the company’s half yearly report, which is expected to be released by the end of the month.

Aside from the financials where we expect the balance sheet to show a significant uplift in valuation of assets, we will also be looking to see what the Chairman's statement will reveal.

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.

Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.

All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

The author owns shares in Red Rock Resources plc.

Copyright © miningmaven 2010

Red Rock Resources: Our Finest Hour!

For the Company's management and shareholders, Monday the 1st of March 2010 will be remembered as the day a new chapter opened in its development cycle.  To borrow from one of Winston Churchill's most famous war time speeches,  this marks "the end of the beginning" for Red Rock Resources.

The big news (click here to see) came from Jupiter Mines, (ASX:JMS) the Australian miner in which Red Rock are currently 25% shareholder, announcing their intention to acquire a 49.9% stake in the Tshipi Kalahari Manganese project in South Africa, from Pallinghurst Resources (JSE: PGL) and their high profile co-investors.

This deal represents an effective corporate restructuring for Pallinghurst, who, together with their investment partners will  end up with around 85% of Jupiters equity. The share-based transaction will be worth approximately A$245m, which will transform Jupiters with exciting opportunities in iron ore and  manganese in both Australia and South Africa.

To view the deal presentation click here

After the transaction, Red Rocks stake in Jupiter will be reduced to around 6% of the enlarged entity. However this will also leave Red Rock holding the largest independent stake outside of Pallinghurst and their co-investors.  

So why does this deal mark such a seminal event for Red Rock?

Up till now, the successes of the Company's agressive growth strategy have been largely overshadowed by the ongoing need for funding by way of equity placements. But all that changed on Monday.

This deal now opens up an early exit route for Red Rock as its joint venture in Jupiter with Pallinghurst is now completed; thus allowing the company to sell down some of its £15m stake (which, by the way is greater than its entire market cap  - currently worth over 2.5p per Red Rock share), without impacting on Jupiters market value.

So with a new route to significant non-dilutive funding available, we expect that long awaited re-rating may shortly be on its way. 

Here is an interview Pallinghurst Chairman Brian Gilbertson gave to Bloomberg TV Asia yesterday. One has to admire his patience, given the Anchor's obvious lack of knowledge of both the company's activities and the sector in general. Why she would feel the need to question him on the Rio Tinto Chinese spy allogations is beyond credulity! Mr Gilbertson is obviously a gentleman!

   

Monday also saw the company's Uranium development vehicle Resource Star finally resume trading after 18 months off the market.  Resumption of trading has seen the share price fall by around 25% from the 20c level. Taken in isolation this would be disappointing, but we view the relisting as more of a technical event and expect corporate developments and deals, (as referred to in Andrew Bells previous interview with miningmaven tv here) to be the drivers for value, in short order.

It is little over 6 weeks since we updated our value proposition on Red Rock (click here to see) yet Mondays developments have left it in need of a thorough makeover.

Over the next day or so, we will be putting together an updated value proposition which will take into consideration all the events that have happened in the interim, and we will be looking at where things could go from here. Exciting times ahead!

This summary represents the views and opinions of Miningmaven, has been prepared for information and educational purposes only and should not be considered as investment advice or a recommendation. All opinions expressed in this weblog are those of the author and should not be construed as being made on behalf of any featured Company.

Readers are advised to do their own extensive research before buying shares which, as with all small cap exploration stocks, should be viewed as high risk. Investors should also seek the advice of their investment adviser or stockbroker, as they deem appropriate.

All rights reserved. Users may print extracts of content from this blog for their own personal and non-commercial use only. Republication or redistribution of Miningmaven content, is expressly prohibited without the prior written consent of miningmaven. However, linking directly to the Miningmaven blog is permitted and encouraged.

The author owns shares in Red Rock plc.

Copyright © miningmaven 2009