Here is the re-rating catalyst I have been waiting for, it may take a few days to digest but EXM should now get re-rated
Good parts
Scoping Study Outcomes -Production of up to 140,000 oz per annum - Cash cost estimate of approximately A$360/oz - Robust economics at US$750/oz gold price - Juno stripping funded through the early development of shallow oxide pits - A range of processing options available - Robust project financials
Cash costs $360 AUD??? whats the current AUD gold price $1200?
Cheap entry price to a low risk, near term, gold production project - Low Risk - Simple open pit operations (>80% of resource can be mined via open pit) - Simple metallurgy - Resources defines, geology well understood - Economically robust - High grade - Low cost - Excellent outlook for gold - Near Term - Shallow oxide pits - Regional infrastructure - Previous mining domain - Upside - Resources remain open
80% of the resource is mineable via open pit
And I wish I could upload the pic but page 15 of the presentation speaks volumes, talks about a 5x uplift in mkt cap when nearing production and a further 4x uplift in mkt cap, thats an estimated 20x uplift in mkt cap, while I dont know if thats possible hell I'll be happy with 5x uplift
Oh and An EXM broker road how will commence Friday 29th May 2009 in Perth, and will follow onto Darwin, Hong Kong then through Melbourne, Sydney, Adelaide and Brisbane.
DSE Price at posting:
1.3¢ Sentiment: LT Buy Disclosure: Held
