UPDATE TVI

Yesterday news release was very very interesting.


1) It was a total surprise as everybody was awaiting Balabag plan or something with Dacon. No this release is about a totally new property very close to the actual mill facilitating transport of ore from the new area.

2) The payment made to gain the right to explore the area was relatively small for a sector already producing copper sold to China.

3) There are no delays in drilling. Near the end of this month drills will be on site.

There are no 43-101 for the new Canatuan area but the first % of copper, Au and Ag reading seems better than the actual (and originally expected) % from actual Canatuan. I do expect some drilling naturally to know where to concentrate first. And to me there is no need to pay huge $$$ just to produce a 43-101 just to have the right to call that ‘proven reserves’.

(see 43-101 for Canatuan in 2007 pages 24-90 and 96. See also original expectations for Canatuan on page 101)

Here is the link

http://www.tvipacific.com/Theme/TVI/files/doc_downloads/Canatuan%20NI%2043-101%20Technical%20Report.pdf

Actual Canatuan sits within the boundaries of MPSA 054-96-IX and is a 508Ha area.

IF the new area was to be the same quality overall and is 2000 Ha it is easy to see that it could be 4 times more profitable (gross revenues) or add 4 times more mine life than the original Canatuan for a total of 20 years mine life at actual tons per day drilling.

I cannot verify any 43-101 for the new area but by itself it means a great mine life extension for TVI no matter the % or territory. Was it to be lesser quality or a smaller area, there are no doubts that TVI has just added greater gross revenues and cost of production should not change that much except for ore transportation.

The coming weeks and months will be by far the best of TVI since many years.

Balabag report is coming followed by another solid Q3 report and then the 43-101 for Balabag sometime in November (as usual we could expect some delays as those firms work on their own schedule…)

What else can we ask for?

Not that long ago TVI was chained to a shark loan (but it did saved the company) and this was avoiding any new development plans outside of what was planned when the loan was signed. They had to repay it before going ahead with other projects.

Look at what happened in only 4 months! Very surprising.

Look where’s the debt now??? There is none. Remember that the actual so call debt is a revolving credit margin getting paid after each shipment is paid in full.

How many more of those surprise projects will we get? How many more JV’s are in the loop as of now? Do you really think that their credibility is bad out there?

Financial analysts wanted 100M cap to start covering TVI and mine life extension.

Well to my knowledge 50% of the job is already done and the other 50% is coming fast as being a 100M$ cap company is only about 0,20 cents.

Remember also that TVI is a company with close to 500M shares and volatility will still exist. Many are in this game to flip shares for 0,005 or 1 penny at the time and there is nothing wrong with that.

So will TVI shoot directly to 0,20 NO. It will get there with ups and downs as most of the stock do. Speculators are lightly replaced by investors over time.

Oh and by the way, it may be time to start having a bit more confidence in TVI management. I don’t know for you but I have not seen anything happen that was not planned recently.

Enjoy your long week-end

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