RE: RE: Outstanding value here Where can I find more information about Mengapur project?
A dated technical report is on Monument's website. The project certainly has some risks but appears decent. It is the financing of the purchase via a private placement at less than one times earnings net of cash that people with a financial background object to. They are selling shares at
.50 for a stock that is worth $1.50 or more. You NEVER do that. It is virtually impossible to hav eit be accretive.
The redeeming factor is that the company is so darn cheap that even after doing a stupid PP it is still dirt cheap. They are debt free and will have cash back up to share price within one year (including the PP). They can earn 20 cents per share each year at 1,600 per oz gold after the dilution. Find me another producing company at two times earnings.