gbz - buy and why

GBZ is a screaming buy but is going under the radar at the moment, not quite sure why, this is fairly long winded, but these are a few of the reasons from todays quarterly report that make, imho GBZ a steal.

quarterly highlights

1) results pending on diamond drill program at T1 and T3, follow up drilling required on both targets to test combined strike length of 2km, visual inspection showed sulphide alteration with chalcopyrite and native copper.

Chalcopyrite is one of the minerals refered to as "Fool's Gold" because of its bright golden color.
Chalcopyrite is the most important copper ore.

Native copper, is one of the few metallic elements to occur in uncombined form as a natural mineral, although most commonly occurs in oxidized states and mixed with other elements. Native copper was an important ore of copper in historic times and was used by pre-historic peoples.

this was VISUALLY observed, we have copper folks, hopefully lots of it.

2) T2 and T4 were identified as areas of interest from SAM survey EXTENDING the size of ROCKLANDS system in Tiger area.

i remember the T2 SAM survey, it was a delightfully huge purple blob over 3km long, this also confirms that we have part of what CDU has, look at their share price, 22 times our current SP.

3) currently finalizing farm in and JV agreements with Pan Pacific.

i like the way they say that, this is all but done, we have a global group in our back pocket. the implications are huge, not only will they supply us with operating cash in the future, we will be 10% free carried to a banking feasibility study, then sell the remaining share if production is reached at market rate.

for pan pacific to get to a production stage, what would 10% of that be worth?????? many millions of dollars.

and this is just my mind at work, but the initial announcement was fairly explicit in its details, in todays release its states " agreement is currently being negotiated based on the key terms", perhaps a slightly better agreement being negotiated?????? can only hope.

4) we had a successful share placement at 20c.

GBZ, while undergoing a share placement in the quarter has still only got 158 million shares with 63 million options and a small market capital of $32.4 million dollars.
We currently have $2.9 million cash on hand with a cash burn rate of $600k a quarter. We are set for at least a year without factoring in any options that get converted, money from Pan Pacific and the money from the joint phosphate venture with Resource Kings, these shares have an issue price of 31c, well above the current SP, but with the strings attached equates to 23.5c per share.

5) victorian projects- malmsbury gold project and willaura copper and gold project.
both of these sites are prospective but we have obtained a Rediscover Victoria drilling grant where 50% of the costs up to $188k over the 2 sites are covered.

The SP, while very disappointing at the moment offers the perfect chance to get in very cheap.

It has been noted that a large seller is offloading, possibly from the SPP, still making a profit as most of the shares have been sold in the 23-26 range.

Also with such large neighbours, imho the SP has been kept in check, potential takeover target?? no doubt about it.

With our main targets not included in the JV with Pan Pacific, what a beautiful scenario, if we have a huge find, a supply agreement or a new jv contract would only need the fine print looked after, we already have the buyer.

I, along with all long term holders will be looking forward to the next year, there is so much growth to look forward to.