Yes others like PXG may have more upside percent wise but more start-up risks lower grades etc then you also have the fact many miners are finding Aussie a very high cost place to do business ...Originally Posted by Daytr
-I brought into CVR because of thought a producer with 1.2moz resource with a market value not much more than plant cost soon to be producer with lower cost structure unhedged,exploration upside.. was a great high growth play (hindsight wish I just brought more PGI)
After CVR rubbish I now rate mgmt. much higher up the list for importance when it comes to these higher risk jnrs ....in PGI case they have "Brain Johnson" in control.... his past history includes taking Nevada Goldfields Limited, Austral Coal Limited, and both Portman Mining Limited and Mount Gibson Iron Limited from conceptual stage to Profitable miners ....
Also on the production PGI plan is for 63koz Gold p.a hedged fully first year then second-third year half hedged (if Gold is much higher that hedge price) and some 600koz Silver p.a is Unhedged ....I also think PM prices will be much higher years ahead....Overall I'm happy with hedge set-up as I know they wouldn't have got the plant loan without it...and really as long as they can keep the costs to plan are going make a enough to drill many holes or buy more tailings within a short time frame I could see PGI reserves doubling..
The Albion Plant cost PGI some 100mill so find the 70mill value still much too light at this stage now that they have announced Recoveries of gold from both the flotation circuits and the CIL circuit are within 7% of target and trending upward. Recoveries of silver from the flotation circuit are within 4% of target and exceeding target from the CIL circuit....
Brought more PGI today
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