What i really like is so many of the small players never make it to profit. And by the time you find out about them they are on ridiculous multiples. These guys are in profit which should translate to some pretty quick value adding. Plus they have pretty profitable margins, and unlike most gold producers on these multiples they are in a politically stable country.
The key will be for them to find more in the near term.
The risk is that they are on the highest most profitable grades right now and that they dont find too much more.
But given the quality they are on , one would have to think this concentration didnt happen in isolation.
Whats also great is they are finding new areas very close to existing infrastructure. No trucking of any distance required.
Anyhow i think having the profit rolling in should really help this transform the company...
All opinion of course DYOR and seek advice.
DRM Price at posting:
$1.00 Sentiment: LT Buy Disclosure: Held
