American Bonanza Gold Corp ABGFF

Strong value ..Take Position Soon

[TheRock07]

Later this week, Balmoral will close a PP of of  $18,000,000 in securities of which  $7 million will be paid to BZA for the sale of BZA's non-core projects to Balmoral,

 These receipts will mean that BZA need only raise an additional $12 million or so in order to move into gold production of 45,000 oz per year at a cash cost of just $450 per oz.

First production should be achieved by  spring of 2011 ,at which time BZA should be cash flowing at about
.30 per share.Most PM juniors trade at 9-10 times annual cash flows

Great management team who have done it before, so the upside here is many multiples of the current price.

[goldpig]

Economics look very good.One of the  reasons why the mine capex is so low is the fact that this is a former mine (  Copperstone  ) which produced nearly one-half million ounces of gold between 1987 and 1993 through open pit mining. As a result , there is substantial  infrastructure already in place , including a  69 KV power line and substation and three water