psv will survive and prosper, page-6

PSV is a producer and will produce 180,000 oz of gold which makes it the 4th largest independant Aust gold producer. The ore is sulphide and disseminated or suspended throughout the ground unlike BDG which is granular mainly and in veins like you regularly think of gold. PSV spent a bit more money than they should have on proving up some large 100,000 oz blocks at the Stawell mine as this mine was deemed as having limited life. PSV have shown that there is heaps there. At the same time some weather and low ore grades set back production - they are transitioning to a higher ore body within the Fosterville mine and the lower grade is part of the move that must be absorbed - hence lower grade, some weather issues and bad timing.
BDG does however have $60 odd million in cash with no production while PSV has all the production and a lack of cash. Many companies would love to have 180,000 oz per annum and the exploration potential and plant and upside the PSV has.
My view is that when it comes back on it will be fully funded and present as a very vulnerable target. Speculators will rush in in anticipation of upside either from a bidder or from natural move back up reflecting production profile. Worth a look !
Good Trading - Rockford