Oxiana (OXR) Update

Submitted by Craig Strzelecki on 8 May, 2007 - 20:52

Oxiana (OXR) has a maintained Outperform recommendation from stockmarket analyst Macquarie Research Equities. Resource stocks should again be in focus today after last night's news of Alcoa Inc's $27 billion bid Canadian aluminium rival Alcan. The last few sessions of trading has seen feverish buying across the resources, with Rio Tinto (RIO) finishing yesterday at a record all-time high. But the buying hasn't just focused on the bid end of town, with shares in mid-cap miner Oxiana (OXR) rising over thirteen percent in the past week alone. Driving the interest in the stock has been a stellar week for base metals, with zinc, copper and nickel all posting impressive gains. Last week, OXR management presented at the Macquarie Securities Conference where the stock's Managing Director and CEO Owen Hegarty presented an enthusiastic, informative and bullish outlook for OXR in terms of delivering projects and growth across its portfolio of assets. OXR is growing production volumes in gold, copper and zinc, and has an attractive suite of projects in the pipeline. It is unhedged and has a strong balance sheet and cashflows. Analyst maintains outperform rating.

Oxiana Limited is listed on the Australian Stock Exchange (ASX) under stock code OXR. You can view their investor website here. OXR was listed on 1 January, 1970. Oxiana produces gold and copper from two mines in Laos and studies are also underway to expand both these operations. The Golden Grove zinc/copper mine in West Australia was purchased in mid 2005 while the Prominent Hill copper/gold project in South Australia is targeting a 2008 start-up. An aggressive exploration program is underway at all the above as well as in China and Thailand. Barry Cusack is the Chairman for Oxiana and the managing director is Owen Hegarty. Browse for Australian stockbroker recommendations. Check your charts and good luck with your share trading!