Griffin - zinc and gold producer

I know this item is 2 weeks old - I have only just come upon it whilst cleaning up my emails, but it might explain the recent institutional interest in GFM.

By Michael Jivkov
Published: 16 December 2005
Morgan Stanley is convinced zinc prices will rocket in the new year and the US broker tipped Vedanta Resources as the major winner on the London market from such a scenario. Such talk sent Vedanta 54.5p higher to 835p as investors clamoured over one another to buy into the company.

Research from Morgan Stanley concluded that zinc prices need to rise much more if enough supply is to be made available to meet Chinese demand for the commodity. The market is greatly underestimating the higher long-run prices required for zinc, according to the broker, which has raised its long-run price forecast for the metal by 23 per cent. "We see zinc as having the greatest upside potential in 2006-07 among the base metals," Morgan Stanley said.