To begin with, congratulations to VMS on another good intercept. The results are already on the website. I particularly like the long sweeping drill hole(#71) that does not intercept anything until in the loosely defined "ore body" that we have established. Speculating that this could mean that most/all of the deposit is on VMS property. We'll have to wait till the province gets back to us on that according to Keith.

Now for this entire commodity melt down that is all over the news??? Oil and gold did take it in the dots, for now, but copper, zinc, and nickel are holding up relatively well considering the strong dollar and apparent weak global demand. Why aren't the analyst pondering why zinc stock is down 8000 tons for the month of august?

http://www.kitcometals.com/charts/zi...

As for the strong US dollar check out the following:

Beijing Swells Dollar Reserves Through Stealth

By Ambrose Evans-Pritchard
The Telegraph, London
Tuesday, August 26, 2008

China has resorted to stealth intervention in the currency markets to amass US dollars, using indirect means to hold down the yuan and ease the pain for its struggling exporters as the global slowdown engulfs the economy.

A study by HSBC's currency team in Asia has concluded that China's central bank is in effect forcing commercial banks to build up large dollar reserves, using them as arm's-length proxies in a renewed campaign of exchange rate intervention.

Beijing has raised the reserve requirement for banks five times since March, quickening the pace with two half-point rises in late June.

This is having major spill-over effects into the currency markets because banks in China have been required over the last year to hold extra reserves in dollars rather than yuan. The latest moves have lifted the mandatory deposit from 15 to 17.5 percent of total lending since March.

END.

Since China is already sitting on 1 trillion US dollars a strong US dollar is in their favor. With a stronger US dollar their purchasing power has just been increased dramatically. I believe that this will lead to a draw down of the LME reserves of base metals as China moves to increasing their infrastructure, repair earthquake damages, and yes, increase exports.

The paraolympics run from Sept 6/08 to Sept 16/08. Does anyone have info on the forward contracts for base metals due in and around the 16 and after or at least where they can be found.