What Management Did….It was obvious this management team would do an excellent job building shareholder value.
I first flagged this stock in my portfolio late December 2008. Nobody was interested and the shares could be bought in quantity at 5 cents.
Throughout the financial crises of late 2007 and all 2008, management substantially cut expenses and ran a very tight ship.
These guys were so cheap with shareholders money they issued the Aug 08 MDA on 3 sheets of paper. Management fees were very reasonable. This means that shareholders money was going into real ground work and the drill bit.
During the Second Quarter 2008, management fees totalling $9,900 (2007 - $6,300) were paid to a company wholly owned by Willis W. Osborne, Director, management fees totalling $8,250 (2007- $4,000) to a company wholly owned by Victor Jones, Director, geological fees totalling $10,192 (2007 - $8,351) to Mamadou Keita, Director and accounting fees totalling $2,888 (2007 - $1,916) and consulting fees totalling $5,906 (2007) These are very reasonable monthly rates.
At the time Kenieba had a NI43101 of 325Koz and the company had low shares out, you were buying gold in the ground for approximately $3 per oz.
During the financial crises, no venture capital was available, so Management sold a good property for immediate cash and future cash payments and bought a great property with the proceeds. Management ensured the survival of the company and put the company on a sound foundation to ride out the financial crises without diluting shareholders.
They keep adding to the property portfolio and apply capital to bring out the market value of the properties in well organized manner.
Shareholders have suffered very little dilution.
Small shareholders should give credit were credit is due, identifying and highlighting good management. Maybe in this way we can get rid of bad management at other companies by ensuring they bad management do not financed.
I expect this company to be bought out in the coming consolidation of the African gold industry that will be led by African Barrick. Therefore the real value in GQ, is the gold properties.
I am off to Columbia, on a new play that is very similar to GQ when it was trading at 7 cents !
I have just started posting again after a 1 year break, I just started adding to my portfolio.
Good luck to all the longs,