Just a few thoughts re Bullant 1. Its a small producer at 27,500 ozs in 2009. I'm guessing that after all costs of mine management, transport, toll treatment etc, we will see about $400 oz. profit. $11m pa. to ARD. hopefully more. 2. we are about to raise $16m that would already have a handshake agreement. At what price to PIs? 16c? that's 100m shares. Including the June 2011 options that will double shares on issue to 200m. 3. the market (those few of us) liked Bullant. But where does sp go now? I'm betting that when the price of SSP is announced that sp will fall towards that point in the short term. There will be a few PIs who sell shares knowing they are getting cheaper ones. Not many though as ARD does not have the liquidity. There is also the 350,000 tranch of shares to Barrick. Surely a why bother? to barrick and likely to be sold. 4. I'm guessing we will see 16c-18c again shortly. But once the process towards production begins i'm expecting sp to head north considerably 5. with the extra 100m shares on issue we are likely to gain in terms of liquidity which atm is inhibiting trading .
ARD Price at posting:
21.5¢ Sentiment: Hold Disclosure: Held
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