Wesdome Gold Mines Ltd T.WDO

Oversold

[GoldBandit]

Clearly, WDO got way ahead of itself in terms of shareprice. Have to lay the blame on management for pizz poor communications. Had there been more transparent news about supply chain issues that were leading to extended problems the share price would not have risen so high, so soon. It is no surprise Duncan is gone but the IR department should be gone, as well.

When the news breaks that WDO is behind schedule the floor drops out and the big dump is laid on those that were led to get their news from the chat boards, not from the company that knew the truth.

Where does that leave WDO? Oversold... The potential is still stunning. So now the shareprice has done the same as the past few years, but in reverse. WDO swung too high and now has swung too low. The real value is somewhere in between, with the huge upside potential still intact.

If you sell now I would bet that in one year you will be severely disappointed.
IMHO
GB

[steve957]

i think WDO will get taken out before then,  The sharks are circleing at these prices 

[GoldBandit]

I'm sure there are sharks out there. Why wouldn't someone want a company that is way oversold and are not that far off from hitting the high grade... This is too cheap. It was a bad year but not the end of the world. They had supply chain issues. The same issues plaguing other industries. I talked to a garage builder last summer and he told he couldn't get trusses and doors... I

[PulpCutter]

This is from Silver Lake's quarterly, just out, discussing the reasons why they're lowering guidance for the Sugar mine (used to be Harte) which is near Eagle: "Sugar Zone guidance has been revised to 45,000 to 50,000 ounces (from 50,000 to 60,000 ounces) predominantly associated with a shortfall of development metres limiting the access to scheduled stoping fronts throughout H1

[snowshoedb]

Yes all businesses are contending wih labour shortages. I think the key is that because development is so far behind at Kiena. They wont be able to get high grade resource fro Kiena A where the grade is higher & consistent. Wesdome shutdown the Kiean mine in Q2 2013 due to intermitent mineralization and as gold grade dropped from 5-7 gpt to 2-4 gpt. It is likely that this is the same area and

[snowshoedb]

looks like the table I tried to post from the August 6 2013 archived financial results did not attach... check the minie opertions section of the archived news release on the WDO website..

[snowshoedb]

KIENA MINE COMPLEX Q2 2013 Q2 2012 6 Mo 2012  6 Mo 2013  Tonnes milled  37,045 67,226 97,158 127,193  Recovered grade (g/t)  3.9 2.5 2.4 2.2  Production (oz)  4,610 5,330 7,613 8,983

[snowshoedb]

table made from financials

[GoldBandit]

All good points. I believe the value is there but it will take a little while longer to get to the honey pot. One year goes by quickly. They have the backup funding in place. How much they need is an open question. Someone will get to the honey pot as it is worth a lot. If Wesdome gets there we're going way higher, even with some financial strain this year. At 6 bucks this is under valued so

[garmin1]

To put more colour why Kiena shuttered in 2013, in the spring of 2013 the gold price was entering a crushing downturn, and I remember feeling in the beginning, and witnessing, that the shine will be gone for a very extended period of time, super bearish. This turned out to be true.

[GoldBandit]

This is true and why some analysts are staying with their WDO ratings and targets. For example... "Analyst Allan maintained his buy rating on the stock, downplaying the Kiena delays by noting the entire industry remains under similar pressures, but expressed concern for the months ahead to be consumed by a difficult search for a new CEO.   “In the context of mine developments

[loonietunes]

In a few weeks the team at YRI will be available to take over a fixer upper!