integra mining has an annoying habit

Courtesy Intelligent Investor

Integra Mining has an annoying habit of creating a kerfuffle over any positive news.

A trading halt was granted this week for exploration results that could have easily been released
to the open market.

It’s not the first time Integra has engaged in such a publicity parade. It’s fine for a junior explorer to be waving its arms to attract attention from a disinterested market,but Integra is now an ASX200 miner. We hope it sheds the promotional bent.

That said, the drilling results themselves were excellent, confirming that new ground close to the Majestic deposit will almost certainly be added to the existing suite of mineable pits.

High grades, thick intercepts and relatively shallow depths are all healthy signs, especially from an area that has received scant drilling attention. Although it isn’t yet reflected in its reserves, Integra is establishing a significant gold resource in Western Australia.

We expect production to top 100,000 ounces this year, trouncing earlier targets and leaving plenty of cash to fund new developments.

The $23m exploration budget, ambitious to some eyes, will easily be funded from internal cashflow. We’re increasing the prices in our recommendation guide to reflect the excellent progress.

The share price is up 17% since 04 Oct 11 (Hold—$0.48) and we’re sticking with HOLD.

http://www.intelligentinvestor.com.au/core/download/specialReports/WR_335c_trial_647.pdf

Angers