Ive been a holder of Signature Metals for almost 12 months now.
Very excited about this underrated stock. And Im continually buying when I have spare cash. Why? Because SBL is building the business for a massive 2012!
The have processed and poured 980 ounces of gold, but hadnt sold it yet. So it hasn't hit their Revenues on their Profit and Loss Statements and Cash At Bank.
If we estimate an $800 per ounce cash cost and $1650 per ounce selling price then we have the following profit:
980 x $1650 = $1,617,000 980 x $800 = $784,000
Profit for 2 1/2 months production: $833,000!!!
Making them one of the lowest EV Gold Producer on the ASX!
And Signature Metals has only just scratched the surface in terms of gold exploration!
We just need to let Management build up the business and ramp up gold production.
Cheers Nectar
SBL Price at posting:
1.3¢ Sentiment: LT Buy Disclosure: Held
