Oromin Explorations Ltd OLEPF

I am still waiting on Tree or EH1 for somekind...

[tony1969]

of reply on questions that I raised about TGZ over the past couple of days including this one from last night.

From TGZ's latest release that can be found on their web site.

2013 GUIDANCE

				Year ending December 31,
				2012	2013
				Actuals	Guidance Range
Operating results
	Ore mined		('000t)	5,915	4,000-4,500
	Waste mined		('000t)	22,962	31,000-32,000
	Total mined		('000t)	28,877	35,000-36,500
	Grade mined		(g/t)	1.98	1.40-1.60
	Strip ratio		waste/ore	3.9	7.00-7.75
	Ore milled		('000t)	2,439	3,300-3,400
	Head grade		(g/t)	3.08	2.00-2.15
	Recovery rate		%	88.7	89.0-91.0
	Gold produced		(oz)	214,310	190,000-210,000
	Gold sold		(oz)	207,814	190,000-210,000
	Total cash cost (incl. royalties) (1)(2)		$/oz sold	627	650-700
	Mining (cost/t mined)			2.71	2.50-2.70
	Milling (cost/t milled)			20.39	19.00-20.00
	G&A (cost/t milled)			6.16	5.00-6.00
Capital Expenditures
	Mine site		$ millions		20.00-25.00
	Capitalized reserve development		$ millions		5.00-10.00
	Gora development costs		$ millions		45.00-50.00
		Mobile equipment	$ millions		30.00-35.00
		Site development	$ millions		15.00-20.00
	Capitalized deferred stripping(2)		$ millions		35.00-40.00
Exploration (expensed)			$ millions		10.00-15.00
Administration expense			$ millions		15.00-20.00
Hedge deliveries			(oz)		59,789

 

Looks like their grade mined for 2013 will range be 20% less (1.60 g/t) to 30% (1.40 g/t) less than the 1.98 g/t they mined in 2012.

 

No offense Tree or EH1 but shouldn't the grade be trending up instead of dramatically down for a company with such optimistic goals? As parks says. How many ways can they spin this?

 

[IloveNDM]

TGZ shares one cent away from a new low post news. The question I now have can it get too low for a deal? Parkie was right about the extent of how bad the news was despite the tgz supporters here who tried to spin it. Parkie, love to know your though on the tgz price becoming a hinderance to a deal.

[ElephantHunter1]

Tony, you seem to be quite fascinated with TGZ. Maybe I'm not understanding your questions but lets start with the grades trending up. Who said the grades would be trending up? I don't ever recall reading anything, anywhere about the grades getting better. Perhaps you could help me out here. As for the company's optimistic goals, perhaps you could enlighten me on these too. I thought I

[tony1969]

Eh1 one would figure that if they are planning on producing up to 500k ounces per year they would want their grades improving and not going down. I would also assume that they would spend more on exploration and not less considering how low their grades appear to be. If they only want produce 200k ounces per year they should lower their production goals and remove those projections from their

[goldn1]

  I will take a 1 for 1 stock deal with TGZ. $1.75, then we move to $3 bucks with a real company that can produce 15 million+ ounces...    

[tony1969]

You read my mind NDM.  That is exactly what I was wondering myself.  On the flip side however if things really get bad for TGZ then it will be much less expensive (because of TGZ) for a major to take us both out.

[Goldfather]

ND... me too... been thinking abt that as well. TG's lo sp good or bad for Ole.? ..could be viewed both ways... approaching a 1 for 1 as goldn1 said, but also makes them vulnerable for a hostile Take Out.  But my opinion, is that TG will wait till another Bid comes in, but wont make a move first until then. Therefore RBC needs to find that 2nd Bidder  for Chet. And Chet does not need

[Treetop2]

This post has been removed in accordance with Community Policy

[goldn1]

  Tree:   No worries about picking on me, but I still see OLE as more valuable than TGZ with alot more upside as well. I stand by my quote and time will tell...     G1  

[1sanman1]

Tree with as limited knowledge I have even I know the name of these game is GOLD and at the end of the day the mine is esential but only a means to the end wich is to extract GOLD and who has more of it????

[Roro1]

1sanman1 - you're right. It's all about the gold - nothing more. That's why OLE is more attrative than TGZ.. Just waiting for IAG to get their act together. Best-Roro

[tony1969]

Hey Tree.  If TGZ wants to continue growing reserves why are they only spending $20 million this year on exploration?  They spent $46 million last year.  Why slow down their rate of exploration during a time when their grades are going down?  You would figure they spend more and try to discover higher grade deposits. I truly feel that they are playing a waiting game with

[Treetop2]

This post has been removed in accordance with Community Policy

[Capharnaum]

OLE could do the heap leach mining while they wait on a good offer if TGZ doesn't budge. Getting $50M to build it shouldn't be that hard imo. Anyway, the heap leach would complete TGZ's current mill if they end up merging so it wouldn't be cash spent for nothing.

[Roro1]

Tree - you said "if I had OLE shares today...". So Tree, if you dont have any shares of OLE, why your activity on this board?  My sence is that Frankman is part of a  group who is buying and selling, and Frankman has a role and does his part. His posts are simply way too contrived. But why you Tree?

[Treetop2]

This post has been removed in accordance with Community Policy

[arlene2]

Roro1------Sooooo , Tree owns no Ole  ,  but continues to recommend that we switch out of Ole into stocks that he owns.........Just maybe that might be a clue what his real motivations are-----besides just wanting to help others..