holy smoke!

Just a few random thoughts on what's happened this week from a newby in PLA. I've been following the fortunes in this co and NKP for about a couple of years so I think I have a handle on why we've seen the SP head north.

As we all know, PLA's Smokey Hills mine sits in a rich platinum provence with Impala Platinums - Marula mine to the north (A few kms) and Angloplat/ARM's - Modikwa mine to the south (Again, a stones throw awaY).

Roughly 5kms East lies Nkwe Platinums's Garatouw project with something like 23m ounces and parties lining up as we speak to JV - mining of this deposit is modeled to produce at 400,000 ounces p/a. According to NKP, an announcement will be made on JV and development by May.

Initially, NKP had hoped mining powerhouse Xstrata would be its ultimate partner with an option agreement that appears to have expired, but that won't signal Xtrata's lack of interest in platinum as their intention back in 2010 was to build a presence in PGM resources so imo they'll still be cashed up and ready to go.

There's always talk of the Chinese wanting to secure supply of PGM's and with PLA wooing partners for its Panton project in Oz, someone like Jinchuan Group may have decided, why JV when they can simply swallow up?

All of the activity in the region encompassing Smokey Hills, combined with the challenges PLA has had ramping up to full production, I think has created the concerted buying of PLA over the past few days.

I would suggest that PLA could be in play, with not one but two companies related to the likes of Angloplat, Xstrata, or Jinchuan Group looking at consolidating the various projects (Angloplat) or an outsider gaining a foothold right on Angloplat's doorstep!

What this means for shareholders in terms of the outcome remains to be seen, but I reckon we are worth far more than 15cps and may fetch double that if the bidding gets fierce.

DJ