OTCQX:BGMZF - Post by User
Comment by
yaponskion Mar 13, 2014 1:30pm
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Post# 22318837
RE:RE:RE:[BL Mining]
RE:RE:RE:[BL Mining]
boss_waz wrote: Glad you are acknowledging BGM's move into 'Producer' status....
Degree of success, profit etc will all come out through sedar as the year progresses....
Will BGM leverage past experiences and vault forward...I believe so.
In any case (good bad or indifferent), BGM will now be veiwed with new eyes...and eligible for new valuations....
This monster is just learning to walk....
Boss,
I acknowledge the attempt to move towards producer status. It is just an attemp and I anyone reading Sedar filings will note that the move to producer status was attempted in the past (20K production one year down to less that 30oz last year).
Virtually all producers produce year round, although some do have scheduled shutdowns. I believe BGM needs to get additional permits to move to full year production. If the permit on QR mill is 75,000 tonnes per year then 900 tonnes per day means a max of 84 days operation a year. Hardly full time producton is it.
The company clearly needs money to build up the infrastructure and secure necessary permits to make the transition to producer. My back of the envelop estimate for such costs would be north of $100M and probably closer to $200M based on what I have seen in roughly comparable PEAs.
When the company producers for say 250+ days of the year, then I think we can safely call it a producer. Odds of that happening in 2014 aren't zero but they are just an epsilon above zero... epsilon you know that vanishingly small quantity that is virutally zero plus ever so very very little :)