As RRL today announced that their "Duketon Gold Project Moves in to Operations Phase" it's worth comparing this company with IGR, as RRL aims to produce a similar amount of gold to IGR and also at a low cash cost of A$495 an ounce and $562 an ounce when rehab and royalties are included.
It's worth noting that RRL have 394,784,125 million shares on issue and a market capitalisation of $453 million.
Their Duketon Gold Project Reserves are:
Proven 508,000 ounces at 1.48 g/t Probable 158,000 ounces at 2.41 g/t
There is a $45 million debt facility and 150,000 ounces hedged at A$1340. This hedging is significantly more than IGR.
RRL currently has cash on hand of $5 million. At 30th. June IGR had $30.3 million.
RRL like IGR has a number of other good prospects and RRL aims to build reserves to 1.8 million to 2 million ounces within 15 months.
The above information about RRL was obtained at http://www.asx.com.au/asxpdf/20100803/pdf/31rpyq2mcrg8pq.pdf
IGR currently has more gold and also importantly higher grade gold reserves and resources. This makes IGR at a market cap of about $300 million compared to RRL's $453 million look like a bargain in comparison imo.
The proof of course will be in the future mining and exploration success of both companies.
IGR Price at posting:
39.5¢ Sentiment: Hold Disclosure: Held
