FeralM
MDL was forced to cease its exploration activity to save expenditure while they built the plant etc, otherwise they would have needed to borrow more. There were substantial cost over-runs in developing the mine etc, but the production costs seem to be good.
There is clearly more gold to be found. Some suggestions were that they were sitting on a possible 5 plus million ounce gold deposit. MDL is now cash flow positive, and have announced they are to recommence gold exploration, and do some further work on their mineral sands deposit. So all is OK from that perspective as far as I am concerned.
However, MDL is not a popular stock and it is taking longer than I expected to have its potential reflected in in its shareprice. An upgarde of MDL's gold resource will work in its favour, but I do not know when that will be.
loki
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