Sdet99 in response to your question on why people are selling the stock lets revisit some numbers...
BDR are going to be producing 200,000 oz PER ANNUM of gold at a rough profit margin of $1,000 p/oz (in guesstimating this I have allowed for cash costs and capex spend). That is $200 million profit in cash per annum. Against a mkt cap of approx $400 mio a shareholder is only paying 2x cashflow for BDR...very few resource companies have such a compelling valuation as that.
This analysis does not factor in any new discoveries in the surrounding area or reserve upgrades.
So why are people selling BDR. Its because they do not understand what a great company this is....good for me though as I can buy more cheaper.
As always DYOR...
BDR Price at posting:
60.0¢ Sentiment: LT Buy Disclosure: Held
