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Golden Band Resources Inc GBRIF

Golden Band Resources Inc. is a Canada-based gold producer engaged in exploration, mine development and extraction of gold ores from its properties in the La Ronge Gold Belt in northern Saskatchewan and processing at its Jolu mill. It has assembled a land package in excess of 870 square kilometers (km2) that includes thirteen known gold deposits and four former producing mines, which were Star Lake, Decade, Komis and Jolu. The Company is mining at three deposits to feed the mill. These are Roy Lloyd, Greywacke and Golden Heart. Roy Lloyd mine is an underground mine extracting ore from the Bingo deposit. Golden Heart is located approximately nine kilometers east of the Komis mine and is accessible through a 17-kilometer mine road connecting to Highway 102 just north of Brabant Lake.


GREY:GBRIF - Post by User

Bullboard Posts
Post by fungi294fron Feb 08, 2012 7:11pm
345 Views
Post# 19506470

BZA comparison

BZA comparison

American Bonanza represents a good comparison to GBN. I had planned on doing a comparison in Nov but it didn't happen.

Ron Netolitzky is a director at American Bonanza and holds 1.4M shares (his 5th largest holding). Other BOD members w/ large stakes in the company are CEO Brian Kirwin 1.7M shares and Director Giulio Bonifacio 1.7M shares. None of the BOD of American Bonanza has shown the commitment demonstrated by GBN's Ron Netolitzky 32.5M shares, Rob Ingram 5.8M shares , Stuart Diamond's 3.4M shares, and Klaus 2M shares.

Yesterday, they announced they have achieved production. Congrat's as Ron gets another project off the ground.

https://www.americanbonanza.com/s/NewsReleases.asp?ReportID=505862&_Type=News-Releases&_Title=American-Bonanza-Copperstone-Gold-Mine-Update

https://www.americanbonanza.com/s/NewsReleases.asp?ReportID=489679&_Type=News-Releases&_Title=American-Bonanza-Begins-Plant-Commissioning-at-Copperstone

As a start up they are about 8 weeks behind schedule. This is an Arizona based company. Remember the start-up issues GBN had last winter in the -40 conditions. American Bonanza production plans are different than GBN's. Golden Band is planning 45,000 oz/yr the first year and 70,000 oz the next 10 yrs. American Bonanza has planned 46,000 oz/yr the first 3 years followed by rate of 32,000 oz/yr for the next 3.3 yrs. The start up rate in the NR is equivalent to ~25,000 oz. I think they will improve once things get going. So far they have a head grade of 6.5 g/t but I think they will improve to 7.5 g/t. The, 450 tpd capacity, currently ran for 1 week at 360 tpd.

American Bonanza has a market cap of $103M. GBN's market cap is still ~74M.

A difference in market cap may be explained by the difference in resource estimates. American Bonanza boasts 256k oz @ 8.75 g/t, 60k oz indicated, and 145k oz @ 12.2 g/t at it's Copperstone Mine. As far as areas of production that is probably it for BZA. They have 3 other properties, all in past producing areas, but one of the properties is a silver mine.

Historically, the Copperstone Mine was an open pit mine that produced 500k oz @ 3.8 g/t from 2500 tpd mill from 1987 to 1993.

As well, American Bonanza has a Toronto Stock Exchange listing. Their SP saw a jump from .40 to .55 on anticipation of production and has, basically, held.

The two companies have a fairly similar share structure BZA 200M shares and GBN 285M shares.

For me, GBN may be the current dog in the field but with expansion in the resources in La Ronge that should change.

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