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Semafo Inc. T.SMF

Semafo Inc is a Canadian mining company with gold production and exploration activities in Burkina Faso. The company's main operations are in Boungou, Burkina Faso, and Mana, Burkina Faso. Boungou is a relatively new production site that is located in southeastern Burkina Faso. The Mana project, which has been in operation longer, includes the Siou deposit, which is about 20 kilometers from the Mana Mine in Burkina Faso. Semafo has developed exploration strategies for future deposits in West Afr


TSX:SMF - Post by User

Bullboard Posts
Comment by Bobwinson Mar 23, 2009 10:30am
384 Views
Post# 15862796

RE: Wega Mining

RE: Wega Miningnice find.  They just did a financing in 12/08 but seem to be short on funds.  They reported losses on their ownership in a Canadian miner, Merit, that probably threw a monkey wrench into their funding plans plus the Inalta Gold mine is over budget in $$ and time.  Scheduled for 5/09 startup but they mention a 20-25million shortfall.  Also have bankers working with them to "get them into compliance".  One negative, I didn't dig it out but they mention gold hedges.  If the mine is delayed and the hedges are coming due, it can create all kinds of havoc if they don't have the gold to satisfy the hedges, especially if the hedge price is low compared to today's near record prices.  

I unfortunately hold Orsu and they are in danger due to hedges they can't satisfy plus project debt repayment that is now coming due.  
Bullboard Posts