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Gold/Mining/Energy : Century Mining Corporation -- Ignore unavailable to you. Want to Upgrade?

To: tanoose who wrote (3)	4/14/2006 2:39:46 PM
From: HotnSpicy	Read Replies (1) \| Respond to of 545

CMM is grossly undervalued at current prices. C$150MM market cap for a 100,000 oz producer that is soon to go to 200,000 oz by year end? Just what is the market waiting for? With cash costs at $300 or lower by year end, they should see 200,000+ production in '07. Using $600 POG, that's US$60MM cash flow (C$69MM). So CMM is currently trading at just over 2x next years cash flow???? As the average gold producer is trading over 15-20+x cf, fair market value should be over C$1B or about nearly 7x higher just to get to the LOW end of what the average junior is being valued at. When one looks at the likes of Aurizon or Desert Sun, I just scratch my head in wonder why CMM remains so undervalued. I owned DSM and sold it to buy CMM. And I was very bullish on DSM, but found CMM's valuation significantly more compelling. And we all know where DSM's shares went in the last year. With it finally gaining some coverage by Lundin and, hopefully, BMO Nesbitt, I would not be surprised in the least to see CMM trading $4-$5 by year end. And that's well below what it could trade at if it just saw average multiples. CMM will get it's well earned day in the sun soon enough. Those who know anything about the gold sector really need to do some DD on them. The valuation is some compelling, I can't imagine that they could pass up buying this company. The thing that I am getting increasingly worried about is that this company could be stolen from us with a takeover long before this reaches fair value. Is CMM going to introduce a poison pill at the AGM? Tad, Tanoose, keep up the good work. cheers CD, aka HnS