the safest stock on the asx - silver to shine, page-28

To reiterate what OML said about CCU earlier.

* It has very capable geological, metallurgical and operational management.

* Strong profitability and operating cashflow driven by good operational performance at the company’s initial mining operation at its Wonawinta silver mine.

* Significant expansion and exploration potential for silver production at Wonawinta and more broadly in the Cobar district using its Wonawinta infrastructure.

* Significant exploration potential in and around the Gundaroo prospect for silver and other commodities (zinc-lead-copper and gold).

* The potential for additional exploration in other parts of its extensive 1,341km2 of strategic exploration holdings in the highly mineralised Cobar mining district.

* A sensible financial base that will temporarily include relatively modest debt that is expected to be rapidly repaid and replaced by strong net cash balances as low cost production of silver occurs with a high cash margin.

* Its ability to leverage its strong operating position, especially at Cobar, to take advantage of attractive corporate opportunities that may arise.