Hutch,
Do you have any interest in PGM's? For your interest:
Message 14361275
Top Picks: Lawrence Roulston's Top Picks Part II
Toronto, ONT, September 11, 2000 /SHfn/ -- Lawrence Roulston, editor of Resource Opportunities, a newsletter specializing in emerging resource and technology companies, shares with StockHouse six stocks he feels could move significantly higher over the coming year.
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SouthernEra [T.SUF] is best known as a diamond producer and explorer. But Roulston says it is one of only a few companies in the world with an advanced stage PGE project. The company has a 70% stake in the Messina project, located in the Bushveld of South Africa, the world's largest source of platinum and second biggest palladium resource.
Roulston says Messina is similar to Platexco's [T.PTX] project (also in the Bushveld) that is being taken over for $191 million by Implats. Yet with a market cap of $49 million that takes into account both Messina and a diamond mine, the analyst feels Southernera is significantly undervalued.
Back in June, after watching the stock lose 70% of its value over the previous year, shareholders seized control of the board of Southernera, forcing Steve Banning to quit as CEO; founder and chairman Chris Jennings is currently running the company. Roulston feels the appointment of a new president will get the company back on track. Although the current diamond mine is winding down, the analyst says it is highly likely that additional diamond reserves will be developed to keep the mine in operation. With the bankable feasibility study on Messina already completed and a diamond exploration program with "enormous potential", Roulston sees tremendous upside for the stock.
stockhouse.ca
stockhouse.ca
regards,
teevee |
