west african gold miners' game changer..., page-40

Hi all.
I realize that this post may be unwelcome but I post in the interest of forcing myself to analyse my decisions, to give others a different view, even if not wanted and in the hope of further discussion.

gooch- A couple of weeks ago, I spent some time analysing both AMX and GRY with the intent of choosing the best stock with Management, project IRR, resource and capex in that order of importance.

Here are the details I have regarding AMX and GRY.

GRY - MC $325 million ((EV - $241 million))
- Management - IMO - extremely experienced
- Cash - $45 million
- Investments - $39 Million
- Resource 4.5 million ounces (depth currently 150
meters- future growth 6-10 million ounces)
- DFS due late 2012
- Capex $250+ million, with the caveat that plans
are being undertaken to have a smaller plant
initially plus a heap leach project to reduce capex
in first few years.
- Planned production end of 2014 - 200koz.

AMX - MC $180 million ((EV - $140 million))
- Management - also experienced, but I dislike the fact
- that they basically put the company up for a
failed sale - I prefer them to back themselves.
- Cash - $40 million
- Investments - 0
- Resource 3.1 million ounces (depth 330 meters - growth
of ounces.. unknown)
- PFS due soonish?
- Planned production late 2015 - 150-200koz.

In the end GRY have a resource that is %50 bigger, so just on the EV, you are looking at very similar numbers ($30 million difference). There are of course many other variable including infrastructure.

I am sure I have made a couple of little mistakes and would appreciate any replies. Happy to say that those that bought in around $0.40 have done very well. Better than me with GRY, however, as such, I feel that is another reason why GRY might be better value.

Good luck to all holders.