'The existing Resource at Cameron could justify a standalone operation:
• Potential open cut followed by underground mining
• Good regional infrastructure including highway, power, water and labour
• Existing site infrastructure including camp, workshop and an exploration decline developed to 243m
• Early metallurgical tests indicate high recoveries of up to 96%
The stock is trading at an EV / Resource oz of $18, compared to the peer average of $66. Argonaut believes the Canadian asset is not fully understood and its potential under- appreciated by the Australian Market.'
Those comments were made in February 2012 when :
* the CVY SP was 15c (now 9c)
* Sun Valley was at 5.8% (now 12.6%)
* QE Infinity had not been invented, and with it a likely $1700+ per ounce average gold price locked in for years to come.
The peer average EV per ounce of $66 tells you all you need to know. The CVY SP has been walked down for the last 6 months so big players can load up at a fraction of its real value.
Now that the big boys have loaded up cheap a near perfect platform has been laid for some very serious SP gains in this one.
No wonder the recent CR was restricted to the 2 key backers, and directors only.
Those who saw what was going on and joined in the buying between 5 and 6c will be well rewarded very soon.
CVY Price at posting:
9.2¢ Sentiment: Buy Disclosure: Held
