The problem,if you could call it a problem billy,is that the...

The problem,if you could call it a problem billy,is that the more they drill,the more resource they come up with.This then leads them to more drilling to define the resource in more detail.As they have said they are now re-interpreting the mineralisation from several smaller defined zones into a larger continuous system(1.5Klms in length!)as evidenced by the infill drilling between the already defined zones(particularly the central and western zones).The drill results seem to be confirming the more continuous nature of Mt Watson.

As a result this must be making the move of the plant from Mt Cuthbert to Mt Watson/Mt Earl to reduce transportation costs even more likely.Im not so sure about this though.These smaller companies sometimes have to sacrifice profitability for cashflow/survivability.With nearly 400 million shares on issue already I doubt holders would want to see too much more dilution due to more substantial issues required for more drilling and studies.Perhaps they'd be better to just get the Cuthbert plant up and running and get some cash happening so as to pay for all the drilling that appears likely to be needed.Just how much Constellation has to say about this might be an interesting point to ponder.

As far as 2003/4s concerned they will ;

- complete drilling and re-estimate the Mt Watson resourceby by end of Feb(which will more than likely be increased again).

- complete the White Range BFS(which SG has pretty much said it will bank roll).

- continued drilling of White Range prospects(more possible resource extensions to the Greenmount resource).

- and continued drilling of Mt Earl.

All these have the capacity to increase the Market Cap of MRX.Baillieu's Ray Chantry already has a strong buy on MRX(Valuation $0.231) and this is without the aforementioned resource increase at Mt Watson or any of the potential increases at the other prospects as you have said.Add to this an increase of $0.10/Lb in the Cu price adds $50M to the value of the CURRENT resource and its not surprising to see continued heavy buying in MRX over the last few days with some $3M+ being poured into the stock pushing it to its current level.

The only real negative may be the relocation of the plant.If they decide to move the plant then this will obviously put back the production start date.The way buying is continuing though it may well be sooner rather than later.

I'd be interested to hear others opinions on what MRX may do with the Cuthbert plant and its price potential once the market warms a little more to what MRX have/are achieving.

Cheers d.