re: Ann: Quarterly Production Report - Decemb...
If the POG ever went to $A2000 as you suggest NGF would have a C3 cash flow of around $A100 million. If that is a factor in your entry point one would consider the share price would be somewhat higher.
I would consider the ground around Paddington to be some of the best for mineral endowment in Australia - the Lefroy Fault has been a successful hunting ground. NGF are undertaking a multi-year disciplined approach and one must assume they believe there are targets for the drills. However, exploration is by definition a risky bet so we can only await results.
The comment on 100 metres depth seems irrelevant as many deposits are mined much deeper than that. Check out NST as an very interesting exploration story. Their mine Paulsens was sold by Intrepid for royalties and the NST production + exploration success has taken the NST share price from sub teens to near $1.
The parallel is of interest as Paulsens seemed on its last legs but NST did get the 80,000 ounce/year production plant in the deal so discovery was quickly turned into cash flow.
NGF Price at posting:
19.5¢ Sentiment: Hold Disclosure: Held
