TIR titan resources limited

today in the age

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    The Age 20/05/03 - BARRY FitzGERALD

    The share price of Billy Ryan's Titan Resources NL has finally got a move on after drifting sideways at around 12¢ for longer than most investors in the stock care to remember.

    At yesterday's close of 21.5¢ the stock is threatening to be one of the best-performed stocks of the year, with an 80 per cent gain under its belt and growing interest its multi-pronged growth story.

    After selling out of the Radio Hill nickel operation Titan was in a bit of a vacuum. It was left holding $24 million in cash and the long-term promise that its potentially revolutionary process for bacterial leaching of nickel from sulphide ores would one day deliver big time growth. While the market understood the concept of cash, the processing technology was not given any immediate value in the share price.

    The challenge for Ryan, post-Radio Hill, was to find a new focus for the company while plugging away at securing a game-changing processing deal with one of the big producers for the processing technology.

    Ryan settled on sulphide nickel and the old nickel stomping grounds in Western Australia of Widgiemooltha and Carr Boyd. It has been the group's work at Widgie, 80 kilometres south-west of Kalgoorlie, that has made the market sit up and take notice.

    Latest drilling on the Armstrong deposit there has returned high-grade hits that point to the likelihood of a significant upgrade in the previously announced sulphide resource of 917,000 tonnes at 1.85 per cent nickel.

    When taken with other clusters of known deposits and exploration targets along the group's Widgie north tenements, the exploration success at Armstrong means Titan can plan a return as a nickel producer at a time when the nickel price is strong and getting stronger.

    It will not take too long either, given that WMC's concentrator at Kambalda would welcome a new supply source. Titan could be doing 5000 to 10,000 tonnes of nickel (in concentrates) for at least a couple of years, the trick being to build a resource base for an operation of five to 10 years.
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