I see plenty of value in GMR as it is currently at circa $8m mcap.
1), The value of the company is underpinned by the Paguanta Zn, Pb, Ag project in Chile. GMR are currently looking to divest the project and so it should be viewed as a near term source of income (some on HC have mentioned as much as $10m)
2). It is anticipated that GMR will produce a Maiden JORC on the Banouassi in excess of 1m oz Au by the end of March 2018 (6 weeks time).
3). Exploration Upside is HUGE. The Kouri tenement has 13km of strike along the same fault. In producing the Maiden JORC, only 3km of the tenement has been explored (the Banouassi prospect). "Namagdo" and "Big Veins" prospects are yet to be fully explored
There are 10kms along strike on the same fault in this tenement that is yet to be properly explored. Limited drilling results at Namagdo include: 11m at 3.6g/t, 4m at 9.2g/t.
4). 100% owned tenement, no buy-backs or earn ins, no debt. Simple open pit mining, historically low cost jurisdiction, in country experience by management and team, excellent metallurgical testwork and recovery rates received, etc, etc.
I simply cannot find another ASX company which has a Maiden JORC in excess of 1m oz Au, with the potential resource upside and strong fundamentals of GMR that is sub $20m mcap.
GLTAH + please DYOR
GMR Price at posting:
4.0¢ Sentiment: None Disclosure: Held
