was 67 cents overpriced, page-3

Jeff65
Apart from the $17.3million free cash flow pa (alluded to by mja), I'm also increasingly attracted by Norton's coal tenement at East Middlemount (120 klm2 between Norwich Park and German Creek). Consider this - the new NGF Managing Director (Jon Parker) was a former MD with Felix Resources, the current Chairman NGF (Anthony McLellan) is currently a Non-executive Director of Felix and the new alternate NGF Director (Ian McCauley) was previously Chairman of Felix. In addition, the current NGF Director (Mark McCauley) was formerly a Chief Financial Officer of a large Australian coal producer (I don't know which one). Tim Prowse the former NGF MD (and now NGF Technical Director ??) also has a broad experience in coal (as well as gold).

Could it be that Norton might use some of their "cash war-chest" ($33 million as at 31/12/2007) and their free cash flow from their gold mining operations at Paddington (and later Mount Morgan) to make a foray into coal, which (like gold) is an increasingly profitable commodity, especially Bowen Basin coal?

By the way, I noticed that Bowen Energy (BWN) is just about to start drilling their East Middlemount tenements this month, and NGF will re-commence drilling their tenement when the current "wet" subsides (quarterly report).

Goggo
DYOR