Dear VMS Ventures and North American Nickel Followers,

The market's jitters the past few weeks have affected most commodity stocks worldwide. We found it hard to believe that our new VMS Super Zone discovery with over 7 metres of over 7% copper did not move VMS' stock. Let's say, overall, sentiment is still mixed.

Given that, I was pleased to receive three pieces on commodities, all worth reading, at my desk this morning. I'm sending them along to you now.

The commodity bulls, particularly copper and nickel bulls, keep pointing to relentless Chinese and Indian demand as they grow their middle classes, but less talked about is the supply side where many are pointing out that the cheap and easy to find and mine copper and nickel economic orebodies are a thing of the past.

The three pieces included in this blast are a brief article from today's Globe and Mail, quoting the Desjardins Securities analyst on copper in the short and medium term; a link to an excellent five pager on Nickel prospects from Macquarie; and a link to a very interesting and detailed piece on all aspects of the copper supply/demand calculation from Rick Mills and his Ahead of the Herd newsletter.

VMS Ventures high grade Reed Deposit is near surface and has every infrastructure advantage possible as it becomes a mine next year. The Super Zone discovery is also near surface and is less than 2 km to the north of the Reed deposit.

Our new spin out Company, North American Nickel, which appears to be very close to trading on the TSX.V under the symbol NAN, is looking for Nickel mines in Sudbury and in the Thompson Nickel belt. These properties are within miles, not time zones, of mining infrastructure in Ontario and Manitoba.

We like the bulls and so, like our prospects in VMS and NAN.

As always, I look forward to your feedback.

Best regards,
Rick Mark
CEO
VMS Ventures Inc.

Globe says Teck, others poised to ride a copper wave

The Globe and Mail reports in its Thursday edition that Desjardins Securities analyst John Redstone recommends going overweight on copper players First Quantum Minerals ($135), Quadra FNX Mining ($14.85), Teck Resources ($48.70), Capstone Mining ($3.42), HudBay Minerals ($14.60), Inmet Mining ($65.58) and Ivanhoe Mines ($24.58). The Globe's Darcy Keith writes that Mr. Redstone targets First Quantum at $163.25, Quadra at $19.70, Teck at $76, Capstone at $5.55, HudBay at $20.35, Inmet at $92.90 and Ivanhoe at $36.84. Mr. Redstone believes that copper's downward trend is about to reverse course. He is forecasting gains of more than 50 per cent over the next year for several large North American miners. His reasoning is tied directly to China and its physical inventories of the metal. Copper stocks as reported by the Shanghai Futures Exchange have declined to 105,000 tonnes from 178,000 tonnes only eight weeks ago, he notes, and copper held by bonded warehouses in the country are also on the decline. Meanwhile, all evidence suggests end-use demand for copper in China remains robust and is growing, he says. The summer period could be a very exciting time for copper prices, says Mr. Redstone.

2011 Canjex Publishing Ltd.

The Macquarie Commodities Comment can be accessed here: http://macq.wir.jp/l.ut?t=DNDc5H11S