Troy Resources Ltd T.TRY

RE: RE: This will assist your DD, I hope

[presto10]

Yes, I like ATW and have no malice toward that co.!  I believe in buying value and will wait for additional coverage and IR which will happen in time.  This is the preferred route imo as long as it is a REAL company.  And the sector, is hard to beat especially today!  Announcement of commercial production, more positive news on the iron ore front, coverage from a newsletter, or an investment with their pile of cash are potential stock price drivers. 

TRY was up 12% today to the trivial $.60 per share.  With 70 m o/s this gives a market cap of $42 million.  With A60 million (C$50m approx) it is still trading $8m under cash, lol!  More recent NRs talk about the value, this little exerpt from an Aug NR talks about the 2008 anomaly and the dividends - er I guess that makes it 9 consecutive YEARS.  They are doing a ton of exploration drilling to increase the mine life of their new Andrinhas mine which contributes a big way to this year's costs.  They have land options that will expire and have to make up their minds or to stick w/ their current land holdings.  Since this Aug NR was issued the stock price is down over 50% boosting the yield to 4% at $.60 share.  

"In recognition of the fact the Board sees 2008 as an anomaly and expects the Company to return to profitability in FY 2009, the Company has announced that it will continue to pay a dividend this year - its 9th consecutive cash dividend payment. The Company has declared a fully franked dividend of 3.0 cents per share (FY2007: 7.5 cents). The record date for entitlement to the dividend is 19 September and will be paid on 10 October 2008. This represents a yield of 2% based on the share price on August 21 2008.

The loss for the year came from gold production of 40,318 oz and gold sales revenue of $39.7m (FY2007: 105,723 oz and $91.8m). The year represents a transition as the Company's Sertao mine in Brazil closed and the Sandstone operation in Australia moved to low grade stockpiles while Troy's new gold mine in Brazil, Andorinhas, continued to ramp up towards full production.

The result was achieved after allowing $11.0 million for exploration expenditure (FY2007: $7.4m) and $5.1 million for depreciation and amortization (FY2007: $7.8m). It is important to note that Troy has an aggressive exploration program aimed at increasing reserves and resources and nearly all of this expenditure is expensed.

In July, after the close of the financial year, Troy announced the sale of its investment in Comaplex Minerals Corp, a TSX listed explorer, to Agnico Eagle. On closing Troy received net proceeds of $48 million. This represented a gain of 77% on its initial investment of $27 million only 18 months earlier. Troy will book a profit of $21 million in the 2009 financial year from this transaction. Troy also retains a "top up" exposure should Agnico Eagle increase its interest in Comaplex above 50% within 18 months of the deal being signed."