Just the facts...no BSLawrence Roulston reminds us today that with growing global debt fears and the huge growth of investment in gold, the undervalued development stage gold company ( such as SFMI) provides two incentives:
1) exposure to the gold market.
2) the upside potential of a company that is generating shareholder wealth.
Mining companies from Asia, and in particular China, are scouring the world for new sources of metal supply. The junior companies that hold many of the best prospects for new mines are getting absolutely no respect from Western investors.
“Trading at absurdly low values, those companies are being closely scrutinized by mining companies that understand the need for new sources of supply. There will be a flurry of takeovers of junior companies as this year unfolds, and the prices paid will be well beyond where the shares trade at this time.”
SFMI: a still hidden opportunity...but not for long.
IN PRODUCTION producing and estimated 160 tons a day at 1.42 ozs per ton ($272000/day)…increasing to 500 tons/day this summer ($850000/day)….with over 500,000 tons in surface ore piles ( $850,000,000). At gold $1200/oz.
DEPOSITS as per Geological reports: Approximately 19.35 million tons of mineralized ore is calculated to exist on War Eagle Mountain. Approximately 165,000 tons of ore have already been produced, with an average yield of 2.52 ounces of gold equivalent ($ 3000) per ton. ( and with silver values added these reserves could reach 5 to 8 million ounces of gold equivalent.
High grade veins are open at length and to depth in some areas.)
PLUS: at least one year's reserves in place at the bottom of the Illinois Central shaft; with ore indications of 11,205 tons @ 103 g/t Gold (3.6 oz Gold/ton)," wrote Mr. Yeager. So this translates to 33,000 oz or $39,000,000.
Initial production/assay results at latest with mid-August quarterly report.
Exploration drilling in mines commencing via Sinker Tunnel.
Share buyback soon.
Brazil Exchange Listing being prepared.
TSX Listing and 43-101 preparations underway.