BVG Analysis (8 reasons to buy)I've been following BVG for some time, but admittedly don't yet own any shares as I need to reallocate assets in order to invest. Having said that, it's one of the most promising, yet undervalued junior exploration plays out there for a number of reasons:
1) Past Results - that 52 m intersection of 21g gold per tonne intersected last year and other results recently mentioned in posts are definitely what we geologists often refer to as "horny rock". These very high grades that were intersected in last year's Homestake Ridge drill program definitely lend themselves to success in this year's 8500 m, 40 drill hole program. Also remember, that they are drilling where there's been at least 1 million ozs. gold already outlined. I'd say the probability of them intersecting further high grade gold intervals are quite high given past results.
2) The Geology/Potential - the co. stated in a previous nr that they intend to drill some deeper holes in attempt to intersect deep feeder vents / veins. These feeders usually host higher grades/ concentrations of gold. A great example is Goldcorp's Red Lake Mine where the vein at depth (kms below surface) runs several ozs./tonne.
3) Drill Program / Field Time - With 8500 m to be drilled in approx. 40 holes over the next 2 months or so, BVG investors will be provided with several months results and the speculation of these results which should draw attention to BVG and provide an extended period of speculation in the stock.
4) Financing - $6.5 million!!! In the current market environment (a global recession) a microcap jr. explorer manages to raise 6.5 million. Yes, they're fully financed now to carry out extensive drilling (without having to tap the markets for some time), but obviously those that invested this much (those in the know) firmly believe in the prospects of the company.
5) Board - Board of Directors has some very qualified individuals with extensive mining and exploration background. Most notably, Ken Thorsen who was VP of Teck as well as the GM of Teck Exploration Worldwide, and Paul Dirksen who has 32 years experience in the exploration and development of several projects, including 3 mines
6) Institutional Investors - there are currently 2. I take it as a positive sign to see institutions showing confidence in management and the projects by investing in jr. plays, particularly when they have greater access to management and info than what we have.
7) Under The Radar - Now's the time to invest when few people are talking about or know about the stock, As the drilling continues, results start coming in, the sp will start to rise even more based on speculation and the pumpers and bashers will show up here on the board...usually that's when I leave...
8) 52 m of 21 g gold per tonne. Yes I know I mentioned it before, but it's just so nice to say. Oh, a number of other stocks with similar or even lesser grades have increased several fold recently. You will have several weeks of results/assays. There's bound to be a at least a few "pleasant" intersections. A fraction of sp increase compare to some of these other cos. with an isolated hole or two should easily propel you to new highs and well beyond.
At any rate, I'm sure there will be huge potential over the next several months for investors to make an impressive return on their investment in BVG. Hopefully, I can join you soon!
Have a great evening.