Chariot (CHD.to): Trying to tell us something, Lukas?

B-b-b-b-but, wasn't this the same guy that said Chariot was cheap at these prices? If it's cheap why sell it? I just don't understand........ :-)

Chariot Resources Limited (CHD)						As of September 8th, 2009
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Sep 08/09	Sep 04/09	Lundin, Lukas Henrik	Direct Ownership	Common Shares	10 - Disposition in the public market	-500,000	$0.370

Only another 50m or so to dump, Lukas.........

Chariot Resources (CHD.to): Lukas's bathtime

Splat!

The Lundin dissident slate was today rejected and the current board keeps its jobs. Here's Reuters:

TORONTO, Sept 4 (Reuters) - Shareholders of Chariot Resources Ltd (CHD.TO) on Friday, reelected the incumbent board of directors, rejecting a slate nominated by Lundin Mining (LUN.TO) Chairman Lukas Lundin.

The shareholders also shot down a motion proposed by the dissident slate to adjourn the shareholder meeting.

Chariot had accused the Lundin nominees of attempting to seize control of Chariot without paying a control premium.

Speculation that Lundin Mining could try to acquire Chariot or its Mina Justa copper project in Peru has intensified since the proxy fight -- led by Lukas Lundin and Lundin Mining Director Brian Edgar -- was revealed last month.

Lundin Mining owns more than 18 percent of Chariot Resources.

Lundin Mining has stated that it does not plan to acquire Chariot Resources, or its key project in Peru. The company said it was not directly involved in the proxy fight led by its chairman to remove Chariot's board.

However, Lundin Chief Executive Phil Wright had said the company would support the alternative slate of directors.

At the beginning of the shareholder meeting, the dissident slate moved to adjourn the meeting, alleging that yada yada continues here

Chart of the day is....

...Chariot Resources, (CHD.to), three month chart.

The IKN Weekly bought this stock at 20c a few weeks ago and sold this week at $0.415. Yes we have 100%+ winners and yes we take profit without later regrets, but now things are getting political. We bought as a value play, looks like Lundin are doing so too...but on a much grander scale. Here's Mineweb with the story: the PPS could now go much higher:

Lundin Mining Chairman Lukas Lundin is heading a proxy battle for control of Chariot Resources (TSX: CHD) and has proposed a new board of directors-all of whom have ties to the Lundin group of companies.

At 18.3%, Toronto-based Lundin Mining is the largest shareholder of Chariot, which is developing the Mina Justa/Marcona copper deposit in Peru. Mina Justa could produce 2.38 billion pounds of copper, 16 million ounces of silver, plus a small amount of gold.

In a response aimed at Chariot shareholders, which was released early Friday morning, Chariot's Board of Directors called the action of the Lundin directors "an opportunistic attempt to steal control of your company through control of the board without paying a control premium to you for your shares."

However, Lukas Lundin and Brian Edgar, a director serving on both Lundin and Chariot boards, are calling on Chariot's shareholders to replace the current board, who they believe failed to progress Mina Justa/Marcona in Peru, "leading to a consistent undervaluation of Chariot by the market." CONTINUES HERE

Zinc up, copper down

Dr. Copper couldn't hold its $3.30 level and dropped back yesterday, with the move being confirmed this morning and Cu sitting at $3.16. However, Otto's beady little eye is on zinc. Spot Zn has been the whipping boy of the BM complex for a while, but the clear indications of a bottom in prices just keep on geting confirmation added. The upmoves of yesterday and today have "healthy" stamped all over them.

In the last few weeks we've seen plenty of news about lower production forecasts for this year, and the Ausie metals people calling a 10% drop to already reduced numbers last week was just another example. It really does come down to good ol' fashioned Adam Smith supply & demand stuff; while the market surplus continues so do the low prices, but there is always a limit to this price drop, as miners stop producing so supply dries up, and I'm confident about saying that it's here (or already passed, really).

Keep thinking zinc, folks. It's that "buy while they sell, and sell while they buy" thing. Here's a re-run of Zn plays to consider.

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BWR.to Breakwater: High beta zinc miner in the Americas that's been pummeled to merry hell this last year. This one is playing the metal, but on steroids. A nice ST trading vehicle for the metal. Check the 1 year chart and 3 month chart to get a feel, and note the volume spikes.

BN.to Blue Note: Very cheap and very diluted. High cash costs at its Caribou mine. This is speculative, but risk/reward means you could try a few shekels (I have to say i prefer BWR)..

VEM.to Vena Resources: Just waiting on its enviro permit (any day now, sez the Peru gov't) and this thing will be the owner of a Zn mine making a profit,and that's even if Zn drops to $0.75, according to my casio. Stupidly cheap here. Remember that Vena is a site sponsor here. Also remember I don't reco dross.

LMC Lundin: Has other worries right now (example govt of DR Congo), but it's a traditional Zn go-to play.

VOLCABC1 Volcan: If you have access to trading the Peru stock market, look no further for your Zn exposure. This very large Zn producer is due a good relief rally. Plenty of Pb and Ag exposure too (as you'd imagine).