Thanks for the info CW. Here is the link to another article -...

Thanks for the info CW.

Here is the link to another article - translated by Google.

http://www.goldinvest.de/index.php/focus-minerals-mit-sehr-gutem-aufwaertspotenzial-23778

The experts at The Gold Report are surprised by the positive quarterly report from the Australian gold producer Focus Minerals (TSX A0F610). They change their recommendation from "hold" to "buy" and to reaffirm their price target of "at least 0.10 AUD".


Ore on the Tindal project of Focus Minerals
Most recently, The Gold Report had in terms of Focus Minerals have been skeptical at first because we wanted to wait, as the integration of acquired last year Crescent Gold will run. But now had the numbers presented by Focus pleasantly surprised to say the experts.

Focus Minerals have a total of 34,211 ounces gold produced and gold sold them in the value of 59.6 million AUD. 56% of this sum would have originated from it's own and 44% of the Crescent-production. In addition, Focus enjoys the end of 2011 still had liquid assets of more than 14 million AUD, although the company has raised more than AUD 10 million for investment.

The Gold Report had been worried beforehand that Focus need additional capital. Now, the company did concede, however, can be a credit facility of 10 million AUD, so that a capital increase, which experts say probably not more likely to be necessary.

Although the cost of production on the Focus projects are based on a short-term shutdown of the plant over the previous quarter rose slightly to 1,076 AUD, but had been able, in turn, production costs at the Crescent projects 129 AUD and thus reduce significantly. This is the Gold Report described as very good news.

Encouraging the experts say are the prospects for the first three months of this year. The company has already eliminated more than 350,000 tons of material on the projects of Crescent, which will be processed in the first quarter. This past quarter we have been able to use the processing plant Granny Smith by Barrick Gold only at 32 days, 08 but with the January 2012 is already processing the next campaign under way, which will now take 50 days. Even under the same ore grades could mean the view of the gold reports a production of 24.5 thousand ounces this time.

Count one to about 22,000 ounces from the production of the old Focus projects it could be that Focus achieved in the first three months of 2012 a production of 46,500 ounces of gold. This would transform the company, experts say, are already running in the direction of the target for 2012 production of 200,000 ounces of gold.

The Gold Report calculated from these data at production cost of 1,000 AUD for the old Focus projects and costs of 1,500 AUD for the Crescent projects, and a sales revenue of 1,600 AUD per ounce of gold production cost of 58.75 million AUD, where the sale proceeds of 74 would gegenüberstehen 4 million AUD. Thus, according to experts could profit in the first quarter amounted to 15.65 million AUD. And mean any cost reduction of AUD 100 per ounce was additional revenue of AUD 4.65 million per quarter, they run on.

In terms of the calendar year 2012 could achieve Focus Minerals in their view after so conservative estimate for a profit of 60 million AUD. With a market capitalization of only AUD 256 million (estimated PER 4.2), the stock has in the opinion of experts from The Gold Report this as very good upside potential.