GNG is a dandy, but let's compare it to another dandy, NGT. GNG at 60, has a US$7.0 MC - US$ 1.6 cash= US$ 5.4 million enterprise value vs. US$1.1 million EV for NGT.
Both are strong Sierra Madre prospects, but NGT has had US$30 million drilling already done, has established a high grade zone of 1,163,000 oz @ 3.16 g, with initial work complete on numerous other targets. GNG: we are still awaiting their very first holes.
NGT suffering from PDG reject stigma? PDG is giving up (all the hallmarks of a company ready to merge), that's apparent from today's Getchell decision. On Salamandra, PDG exploration chief was quoted as saying, "I understand why we let LC go, and certainly Donlin Creek, but Salamandra? Will prove to be a mistake. Shouldn't have done it." Just look at the cross sections, and you will see what he's talking about. If this was a dud, PDG would have quit after $5 million, not $30 million.
I already own 750,000 shares, look out, get out of my way, I'm buying more! |
