placement

Noble is one of the few production-focused growth companies within the gold sector. It's another big winner in the making and reminds me of Kingsgate and Medusa earlier in the cycle.

This placement is a great deal priced to make money. The last placement was 39c in 2010 and the stock never traded near issue price and went up to 75c within 6 weeks.


I understand from speaking with BGF that the company will use funds raised to expand production throughput from 2.7 to 3mtpa, secure their own power generator as a backup to grid power, procure more efficient mining vehicles and equipment, and hire more mining personnel. The aim is to run a Newmont-level efficient top-tier operation despite its mid-tier company size.

The stock is starting to outperform early stage developers like Azumah, Ampella and Gryphon, and should do even better once commissioning takes place. Remember Bibani is 100% owned and the company is totally unhedged. I'd much rather see them raise capital, particularly in light of the losses Adamus suffered with their hedgebook.