Friday, November 14, 2008

Bass Metals to shine in the recovery

How would you like to buy a company with
1.solid asset backing worth .27c,
2. profits still coming in and
3. exploration results that continue to be remarkable.
What would you pay?
.55c? .75c?....Well try .10c!!!
On the 29/9 Barry Fitzgerald wrote an extremely positive and upbeat column in The Age about Bass Metals and warned us to look out for the report on the Fossey Zone.. well it came out today and this market just yawned...
Watch for a big re-rating when some money starts to flow back into the markets. Here is an extract from the announcement.

"High grade drill intercepts at Fossey Zone

Bass Metals Ltd (ASX:BSM) is pleased to provide the following update on its recent drilling at the Fossey Zone, part of its 100% owned Hellyer Mine Project in NW Tasmania.
Further high grade polymetallic intercepts at Fossey Zone:
• 43.5 metres at 12.9 % zinc, 7.7 % lead, 0.4 % copper, 207 g/t silver and 2.6 g/t gold from 187.1 metres downhole, including;
• 12.6 metres at 22.4 % zinc, 13.5 % lead, 0.5 % copper, 367 g/t silver and 4.2 g/t gold (HLD985).
• 10.9 metres at 8.9 % zinc, 5.4 % lead, 0.3 % copper, 99 g/t silver and 1.5 g/t gold from 206.8 metres downhole (HLD983).
• 9.95 metres at 7.4 % zinc, 4.7 % lead, 0.4 % copper, 56 g/t silver and 1.5 g/t gold from 202.55 metres downhole (HLD979).
The Fossey Zone is an unmined zone of high grade polymetallic mineralisation comprising base and precious metals, generally associated with a massive barite zone, commonly with significant gold and silver mineralisation. Recently Bass Metals released an initial combined Mineral Resource (Indicated and Inferred) of 830,000 tonnes grading 9.1 % zinc, 4.6 % lead, 0.3 % Cu, 120 g/t silver and 2.5 g/t gold for the Fossey Zone at a 5 % (Pb+Zn) assay cut-off (refer ASX Report 30 September 2008). The addition of the new Fossey resource more than doubles the Company’s high grade, polymetallic resources at the Hellyer Mine Project (HMP) to 1.6 million tonnes at 8.1 % zinc, 4.4 % lead, 0.3 % copper, 104 g/t silver and 1.9 g/t gold. The entire resource inventory (HMP and Que River) now stands at 2.3 million tonnes."

Judge for yourself..but it seems a bargain.

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