re: Ann: Exploration Target For Lake Purdilla...
Hi miningnut
If you thought that you were investing in a mining company then I suggest that you do some more research before you invest. When you check the MEP website the name of the company comes up as Minotaur EXPLORATION Pty Ltd which gives a pretty good clue as to the primary focus of their work.
If they were a mining Co then the capital structure would need increasing many fold. Quite simply they do not have the money to mine. Also if you look at the Management of the company again they do not have the people to carry out mining.
If you recall in the days of the Prominent Hill discovery it was sold to Oxiania who are miners. Selling out the gold was always going to happen and in this case has provided funds to carry out further exploration in Cloncurry and Gawler. These areas were highlighted in the annual reprt as being the focus for 2012. Without the income from the gold sale then money would have had to be raised by way of a CR from shareholders which would only devalue our holdings.
Exploration is a game of patience which is quite boring when compared to a mining company. However these guys at MEP have a proven track record and they seem to be homing in on 2 specific targets. If their interpretation of the drilling targets is correct all you have to do is wait for the ANN and then KERBOOM the share price takes off and MEP look for a buyer and move onto the next project and the cycle starts again.
Don't forget the Iron Ore and kaolin and gypsum which have all been announced recently. There is no talk of these being mined by MEP and I am sure potential buyers are being spoken to.....again I draw your attention to Hong Kong and the people who will be pressing flesh with our presenters... time will tell but do nt be surprised with what comes out later in the year.
Regards
kippax
MEP Price at posting:
19.5¢ Sentiment: Buy Disclosure: Held
