why is bmn so cheap, page-51

I've come in late to this debate, and find it odd that no one has quoted BGF's (Warwick Grigor) specific research on BMN - May 2009.

To wit:

"BMN's Etango resource is world class. It will be developed at some point, once it has been optimised. There is considerable grade/tonnage curve flexibility. While the resource grade is currently 207 ppm, the start up grades will be higher. Most of the resource is within 200m of the surface with 70% of the drilling only going to this level, yet it continues for hundreds of meters at depth. Specifically when compared to Rossing, there is less marble in the rock and this means less acid consumption and less difficult comminution."

and...

"Even with our higher capital cost figures and a head grade of 220 ppm, BMN looks good value on a cash generation multiple of 2.0x, on the spot price of US $46/lb. We would expect the higher long term price to be more relevant here due to the size and long life expectations. Optimisation of the project could provide further enhancement."

Reading between the lines, I'd say WG is quite positive about BMN's future prospects...