for the chartists, page-72

Dear Mr. Scorpion,

Not sure about the term "desperate", mayhaps the term "Bargain Hunters" would better suit..

Besides, not that many of them agree with your commentary just yet. Yes, it IS possible their vote has been strucketh down with the mighty force of the unpopularity of the vast majority of your commentary since this stock CR'd (capital raised) and then dropped on a serious (NOT FATAL!) production hiccup! [In other words, people voting down anything you say predominantly because it is you who says it...]

PS> I for one have to confess that OCCASSIONALY I draw enough insight from your posts to have rated them up .
this occassion is not one of them...

As for the bargain hunting aspect of it, I have been comforted by managememnt's assurances on grades to truly see CCU as severely undervalued (EVEN if fairly so - by this unforgiving, evil market). I have very specific views on the future for silver, in the precious metals complex.

In particular the future concerning the gold-silver ratio.

I am much more concerned with the profit margin that CCU is achieving rather than any sidewinding rubbish about grades - which ARE JORC RANKED. It is that margin (yes, dependent on Actual production being ACHIEVED) that drives any investment I make in a MINING COMPANY.

That's another critical point here - CCU is a MINING company now, transition from explorer to producer is complete. I don't want to linger too much on this point, but management has been clear on the speed of transition in their numerous bragga-thon presentations. It is this break neck speed transition that is at the root of the current production dramas. I actually disagree SOMEWHAT (just a gut feeling) with the sacking of the previous operations manager - he has been central to the rapid construction of the mine, and surrounding infrastructure.

Together with expected clarity on margins, my view on the future silver price achieving record highs (to present prices) makes CCU - A wholly AUSTRALIAN pure silver producer with an established, operational mine - a once in generation BARGAIN!

FOR EXAMPLE, picture this scenario:
Sometime in the near future, silver (coupled with gold) resumes its strong bull rally from the year long consolitation it has been enduring. More so, silver, as it has been doing so far this calendar year, seriously outperforms gold in its march to record highs. Gold silver ratio has a lot of room to the downside from the inflated 50+ mark! Once record $50+ territory is breached, silver will have truly stolen the limelight from gold, and many market players will be searching for some EXPOSURE. Given many Australian investors are notorious for shunning o/s mining/exploration stocks, the OBVIOUS choice for an Australian pure silver producer with considerable scale must be CCU! Yes, there are other - smaller - producers. However once management streamlines production, there will be no equal to CCU.

Please Do DO YOUR OWN RESEARCH,

(above double do's is no typo - DO THE RESEARCH - It's not that boring!)

TunaMan.