You obviously have lots of street smarts about you.
If I understand correctly, you are convinced PRU is NOT going to raise $175m or whatever to build their gold mine (unlike companies like CGX and MDL on the ASX that have done so and are close to producing gold at rates of about 200k oz pa).
Why is PRU so different? Is it the credit crisis, the quality and size of their deposits, lack of management motivation to develop or something else?
I'd be interested in your views and how you see developments progressing over the next year or two for PRU and how big their deposits will eventually become.
CGX and MDL have market caps of ~$300m and I've been told their mines will probably be sold to the majors AFTER their mines are successfully commissioned, therefore at very minimal risk to the buyers. Why won't PRU go down the development path and wouldn’t this significantly limit the price of any takeover?
Rowingboat
PRU Price at posting:
72.8¢ Sentiment: LT Buy Disclosure: Held
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