Our Real Value = A Producing MineResults for Hole #7 and Hole #8 will bring us within 2 holes in my calculations to be Mine Worthy....the share price is not reflective of the underlying real value of AAA and I bought more this morning prior to release of results from hole #7.....5 Analysits have AAA as a Buy....in my oppinion our share price increase this year has been based on legitamate and material results from drilling and investment from Institutions, we are not riding the coat tails of BHP / Pot, as it appears many juniors are.
Our goal of taking Allana to production truly separates us from other juniors. Most other juniors may just be dreaming about ever getting financing for a $2 billion dollar potash mine on their land.....We are fortunate to have several fundamental and essential business factors working for Allana which makes Allana a unique company compared to all of its current peers. Very few other greenfield projects will be profitable if there is ever a glut of potash on the market from existing producers expanding production and potash sells at $350 per ton. This will be proven when we conduct our Bankable Pre Feasibility Report later in 2011. We have recently read that their are many private potash companies that should also be considered as potential takeovers...this may be more material than you think if your overall realistic goal is to be taken over by a major...Allana's advantage is that we will shortly prove our abiltiy to define a major shallow deposit that can withstand lower Potash Prices and still be profitable for the life of the mine....We have 2 strategic investors that make us diffrent as well....Liberty Metals and ChinaCo. both conducted extensive due dilligence and concluded that our project was worthy of investment among the hundreds of companies they could of chose to invest in....
I am not sure if ChinaCo. plans to sign their 20% offtake agreement once we have our 101N1 Resource Report released this spring? As negotiations on the terms were successfully concluded, not sure of when the deal is effective and ChinaCo. gets their offtake and commit to their 35% capex for mine construction as those terms were
not released?
Hockey Night recently posted that he was made aware of positive news for Allana while he was in Africa, information that was insider and would get him busted..... It appears that having ongoing favor and a posiitve relationship with the Ethiopian Government may prove to be very valuable in the next 4 months?....wonder what he is referring too, but I can wait to find out.
I have been trying for the last 10 months to tell anyone who would listen, the real value of Allana is to survive until we can get to production or have enough shares protected by insiders and institutions that will not entertain a hostile take over attempt.
Karma
"As to why we do want to sell the company one only needs to understand the economics of a potash business.
There is 10 times the value in bringing the Milestone solution mine into production as opposed to selling it as an early stage development project."
Echo Global Logistics
Capitalizing on a major trend
At the top of Waggoner's watchlist are the companies that play a role in feeding the world. While agriculture might not necessarily be sexy, growing populations and improving economies mean that more people will be able to afford to consume more while enjoying healthier diets. That bodes well for PotashCorp(NYSE: POT), the world's largest fertilizer company by capacity. The company shot up nearly 40% after BHP Billiton made a hostile bid for the fertilizer miner earlier this year and has trickled back down since then. Mosaic(NYSE: MOS) has seen a similar price increase and also stands to benefit from the multiple tailwinds. "As long as there's demand for agricultural products," says Waggoner, "there will be a demand for the products that Potash and Mosaic are supplying."
| 21:16 UK, 15th December 2010, by Agrimoney.com |
| Potash price lifts as producers' stocks lag |
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Potash prices have risen to their highest this year, joining in a round of fertilizer price increases, as North American stocks of the nutrients hit their lowest since at least 2007.
PotashCorp, the world's top potash producer, said that prices of the nutrient had climbed to about $380 a tonne, free on board in Vancouver.
The increase, after months of flat-lining at about $350 a tonne, represents a far smaller recovery than other nutrients have seen, with urea prices up by about two-thirds since the spring.
Phosphate prices in the US port of Tampa have approached $600 a tonne, double their price at a nadir in spring last year, as weak crop prices and the credit crunch persuaded farmers to hold back on nutrients.
However, the potash uptick will go somewhere to supporting views that the sector revival long heralded by groups such as PotashCorp is gaining traction, after being held back initially by prices which were held relatively high compared with those of other nutrients.
'Fundamentally positive'
The increase, the fourth this year, reflected higher crop prices, which have improved farmers' willingness to fork out for nutrients, the group said.
Meanwhile, Russia's Uralkali on Monday, unveiling a 5m-tonne supply deal with Norwegian fertilizer group Yara International, said the scope of the contract, "one of the largest in the potash industry's history… demonstrates that the global potash market is recovering and that the demand for potash continues to grow".
Stocks decline
The PotashCorp report also showed potash inventories held by North American producers falling further behind historic levels last month.
At about 1.6m tonnes, stocks were 182,000 tonnes, or 22%, behind average levels, and the lowest for the time of year for at least four years.
Lower stocks are generally seen as supportive for prices, in forcing buyers to compete more strongly for supplies.
"The relatively low inventory levels should continue to buoy fertilizer prices in the wake of increasing global demand," analysts at Canada-based broker Salman Partners said.
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