Avnel Gold (AVK)I recommend Avnel Gold as the best buy of the gold miners. Here are some of the reasons it stands out:
-Their main property - Kalana - is valued (NPV) at $257 million but market cap for the whole company is just $91 million
-Kalana is fully permitted with government and local community backing
-Avnel has operated an underground mine at Kalana for some years now. Kalana is effectively a mining town.
-Financing for the new Kalana open-pit mine is in the works and discussions are underway with multiple banks to finance it
-Kalana is one of the highest grades, open-pit mines in the world
-Kalana has 3 million ounces
-Avnel has multiple other properties in the area (mining friendly southern Mali) which will also have millions of ounces of gold
-An exploration program on some of the other properties is starting soon. There will be many high-grade results announced. There are many spots where results such as 100g/t will be reported. This number is awesome for an underground mine but incredible for open-pit mines.
-Famous hedge fund manager Paul Singer owns approximately 50% of the company. It is thought to be his biggest (and possibly only) gold miner holding. He must know this will be one high-grade mine after another.
-Many of the other gold mining companies have doubled in price recently whereas Avnel Gold hasn't done so yet even though they should have gone up in price more than double. The reason is 2 investors had to sell shares to pay for warrants which they thought they would have to redeem right away but the timeline got extended for them. The result was and is a lower share price.
-CEO Howard Miller owns 11% of the company. He has had many big mining successes over the years.