RE: To ALL BCG Pumpers, from Canada with loveI don't want to label myself a "pumper" but here's my response:
I'm invested in BCG for two reasons. First, valuing Engineer alone, BCG is worth significantly more than the 6 million or so it's sitting at right now. Lets use the numbers you link to:
25 tons/per day*10g/ton*200 days/year= 50000 grams/year
50,000 grams* (1ounce/30grams)* $1200 per ounce= $2,000,000. Guessing at $500 cost per ounce that's $1.2 mil in profit each year. In terms of SP, BCG has 47 million shares out so 47million/1.2million=2.5 cents per share, so you could see the share price sitting from .25-.50. I want to emphasize that I realize how crude that was, but I think it makes the point and the result is not particularly sensitive to changes in any of these values.
Additionally, you could see these numbers as conservative: as noted in earlier posts there is a possibility that BCG could get access to a nearby higher capacity mill. Further, we are assuming 8-12 g/ton on average while the mineralization type suggests we could get much higher, especially with the technology and knowledge we have today (as opposed to 1927).
second, BCG's voigtberg property, in the "gold triangle" is in a highly prospective and quickly developing region. We aren't hearing a great deal about voigtberg right now but the potential of this property could easily add to the SP.
The financial jitters we're dealing with right aren't exactly encouraging investment in microcaps like BCG.... but I like this investment in the mid to long term. BCG has no debt and money in the bank to deal with a bit of short term uncertainty. Over the long term, the small producers like BCG, that are unhedged and able to ramp up production quickly, are positioned best to take advantage of high gold prices.. and who knows where gold is going? markets are flooded with liquidity but unlike after 2001 there is no american housing market to swallow that liquidity.