Why SBM is on the rise?, page-7

Zeeshan

"EVN is debt free while SBM still has debt, and that alone is a significant negative for me on SBM."

I suggest you check out this recent Diggers and Dealers presentation by EVN which shows proforma debt at AUD$630m and cash of AUD50m. EVN took on a lot of new debt as part of its recent expansion. They have also issued a lot of shares, 1.438 billion. Their proforma 2015 gold production was either 760k ounces or 860k ounces - not sure what slide 11 of the presentation means to say.

You can compare their costs, production levels operating margin to work out total operating income versus what SBM achieved (note that SBM only has 520m shares on a fully diluted basis).

I suggest you do a lot more research. EVN's debt has been explained in a series of documents they produced in relation to their recent acquisitions. Their 2015 annual accounts probably disclose this as an item of post 30 June events, but I will leave that for you to check out.

EVN may attract a bit of a premium over other OZ goldies such as SBM due to their large size that makes them an investment target for a larger pool of investors, but perhaps not.

loki