donner metals + donnybrook energy

zinc + gas? how does that fit 2gether? well, the CEO dave patterson presented his 2 companies donner metals + donnybrook energy in munich 2day ... (pls follow that links for more details abt my perspective on these companies from former investor presentations ;-)

any news? well, the outlook for donner metals is great cos they are much closer to production of Zn / Cu / Ag / Au in quebec / canada as they have been at dave's last visit. nevertheless their share price collapsed in the recent market correction as if there were no tomorrow, hmmmm ... on top we will prolly see collapsing zinc output from existing mines, so we just have to get the demand side of the supply & demand pattern correctly in order to predict future zinc prices, true? .... btw, donner's production will replace the mill feed from an old xstrata's mine which is going out of production in late 2012 / early 2013 ... well, now u know why is xstrata zinc canada (65%) the major partner of donner (35%) in that promising project :-)

what abt donnybrook? hmmm, i had to leave early 2day cos i had a meeting in my office job which i couldnt reject or shift to a later time, so i just catched some of dave's explanations abt the energy + gas markets and abt new gas drilling methods in general, but not much abt the company itself ... i even dont know when should some drill results etc come out and im too lazy to move 2 their website for some update on operations ... but who cares? at the current low low low gas prices they should better keep their gas under the ground, shoudnt they?

u know what? the other folks out there told me that unlike 2008 there is a lot of money in the markets waiting for places to go in .... and yes, a debt financing (fixed rates for some time) is more popular than equity financing (private placements of new shares etc) ... hmmmm, strange, isnt it?  ... even AFTER the crash in the resource sector are the investors scared to invest, hmmmmm ...

donner metals + overview of earth's base metals production

 + overview of earth's base metals production

next investor lunch event 2day => zinc, copper, gold, silver in queebec/canada => BONJOUR!

source: donner metals

what abt my comments?

• strong partnership with xstrata on their major project (35% donner, 65% xstrata)
• feasibility study done
• high institutional ownership
• going step by step on their way into production
• still need 2 raise approx CAD 35m in order to meet their agreements with xstrata. btw, wanna help out?
• wanna look-up 'donner' in a german dictionary?
• there is no danger of oversupply in the zinc market ...
• forget the zinc recycling as well cos 2 expensive ... folks, thats 100% true, my father produced zinc out of some waste materials from steel galvanizing process in u.s. steel's factory in eastern slovakia few years ago (too much energy needed!)
• copper oversupply possible if congo/zambia/etc calm down a little bit and re-start their economies in our lifetimes ... copper mines are huuuuge, can produce for hundreds of years ... copper recycling is easy ...
• some geologic gibberish, i didnt understand a word, u should prolly better read wikipedia/donner's website instead of my claptrap in order 2 learn s.th. abt geology of mining, ok?
• production + cash-flow should start in 2013
• ...
• any risks? yep, of course! drop in metal prices, xstrata goes bankrupt, the world goes under, they cant manage the CAD 35m financing, they sell too much of their silver/gold/copper upfront and the small dirty corrupt buddies @ fed/ecb/boe/boj print sooo much damned paper money that donners 'fixed' income is nothing compared to the production costs in the future ... or all of that!
• as always, ive bought few shares, subscribed 4 company's newsletter, like it on facebook, ... this time i didnt wait for the presentation and bought my initial positions few weeks ago, u know?

what abt 2 more xstrata issues?

• these swiss guys need donners property like crazy cos their nearby mine is going out of production in 2012 and so will their mill! 
• lets hope my donner shares will perform at least as good as my xstrata shares i.e. +277,64% on average since december 2008 + march 2009

good luck, my lovely zinc/copper play, good luck :-)

ohhh, have already forgott, ive bought also few shares in UMG / united mining group, my next silver valley play! well, there is always some good information if u have so many buddies in the mining business, u know?

addendum: overview of earth's base metals production
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