merrill lynch buy

0909 [Dow Jones] STOCK CALL: Merrill Lynch upgrades Oceana Gold (OGC.AU) to Buy from Neutral, says selling has been overdone. OGC has fallen 65% since its March peak and ML says it now offers "compelling value to investors". Selling has been triggered by higher than expected capex at its Didipio project in the Philippines; ML says management has clarified capex and the project now looks cheap on a per ounce basis. Says a change in gold price assumptions is expected to boost the resource at Didipio and improve project economics. Target price upped to A$1.60 from A$1.45. OGC last traded at A$1.04. (APW)