update coming on exploration activities It seems we will be getting an update very soon. Carry on Vms.
Dear VMS Followers,
Happy New Year.
All of us at VMS wish you a prosperous and healthy 2012.
Regarding the prosperous end for VMS shareholders, a critical ingredient for all of us is the price of Copper.
I was pleased when one of our long time brokers from Haywood Securities sent along the piece below. Haywood is an active and successful brokerage in the mining space. In the piece they deliver an interesting take on China’s demand profile for Copper. It is brief and I encourage you to take a moment and review it.
On the business side, we will be updating our exploration activities next week in a VMS press release. As well, we are planning a Vancouver/Toronto marketing tour for North American Nickel in the first two weeks of February. We will be in front of shareholders, brokers and analysts to describe the immense opportunity we have in Greenland and detailing our 2012 plans to advance the project.
On a personnel note, Keith Patey, our long time Director of Communications, is no longer with us. Keith is looking for a change in his work life and we thank him for his years of dedicated service to our Companies and wish him the very best. Evan Sleeman and I are fielding calls here in our North Vancouver office and John Roozendaal and Neil Richardson are both available for more technical discussions.
Please stay in touch.
Best regards,
Rick Mark
CEO
VMS Ventures Inc.
VMS owns approximately 45% of North American Nickel Inc.
Strong 2012 Copper Outlook on the Back of Record Chinese Imports
We continue to anticipate copper strength in 2012, primarily fueled by increasing Chinese demand, labor-related disruptions at existing operations, and a lack of new global mine supply. We note China has opportunistically taken advantage of low copper prices over the last ~4 years to (re)stock the Country’s (strategic/depleted) copper inventories—the most dramatic example taking place in late 2008 / early 2009 (i.e., immediately ‘post’ the global credit crisis) when the copper price dipped below US$1.50/lb.
Chinese copper imports totaled 452,000 tonnes during November 2011 and increased to a record 508,942 tonnes in December—higher than the Country’s previous record import levels seen in early 2009, arguably suggesting China believes today’s ~US$3.50/lb copper price represents a similar buying opportunity as <US$1.50/lb copper did ~3 years ago. Assuming this is the case, China clearly has a bullish outlook for the copper price, likely driven by the Country’s understanding of its own demand needs.
One additional point—China’s December 2011 copper imports (508,942 tonnes) were greater than the London Metal Exchange’s (LME) current copper inventory (358,250 tonnes).
-------------------