mmx quarterly rpt, page-11

Hi ladies and Gents

Didnt want you to miss this very interesting article. Here is is for your pleasure LOL


Chameleon shares are too hot to handle

* Rebecca Urban
* From: The Australian
* February 03, 2010 12:00AM


LONGTIME supporters of Chameleon Mining, the tiddler suing Murchison Metals for a slice of its $800-million-plus iron ore project, appear to be deserting the company as the case nears completion.

With closing submissions for the civil trial due to start today, Chameleon's share register reveals that some of its largest investors have sold parcels of shares since the hearing started in the NSW Supreme Court in September.

RBC Dexia Investor Services Australia Nominees has reduced its stake from 70.3 million shares, or almost 6 per cent of the company, to just 10.2 million shares. Previously Chameleon's largest shareholder, the group now holds less than 1 per cent.

Leading investors McNeil Nominees and Union Pacific Investments, which is owned by Chameleon's former chairman Siew Hong Koh, have also been selling.

As of mid-January, Chameleon's largest shareholders controlled 34 per cent of the company, down from 44 per cent 18 months ago. Shares are increasingly being snapped up by retail investors.

A recent buyer includes Sydney property developer Ron Medich, a witness before a public examination into the dealings of murdered standover man Michael McGurk. His Ron Medich Properties now owns 5 million shares. And companies associated with convicted market rigger Jeffrey Braysich continue to have a sizeable investment in the company.

Chameleon, chaired by former rugby league player Benny Elias, has been pursuing Murchison Metals, as well as businessmen Phillip Grimaldi and Greg Barnes, for two years.

It claims the pair used the company's capital to partly fund the purchase of Murchison's Jack Hill tenements back in 2004. Chameleon recently settled its case against Mr Barnes for $6m, however Murchison and Mr Grimaldi, a former Murchison director, continue to defend the claims. News of the settlement boosted the company's shares to above 3c earlier this month. They last closed at 2.6c. Mr Elias said yesterday he had been unaware of the recent selldowns.

Other sellers include porn shop owner Con Ange, who has sold 5 million shares since November.

However, Porn Pinon Chungsuwathananon, a sophisticated investor registered to the same address as Mr Ange, a designer children's boutique on Sydney's north shore, has purchased more than 10 million shares over the same period.

Also on the register are Roderick McIllree and Jeremy Whybrow, directors of Greenland Minerals & Energy, which is locked in a dispute with Mr Barnes.

Mr Grimaldi, who declined to give evidence at the recent hearing, also owns 471,744 shares in the company that is suing him.