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Pastimes : True Confessions -- Admit it -- you bought that stock -- Ignore unavailable to you. Want to Upgrade?

To: Real Man who wrote (841)	10/20/2009 3:46:32 PM
From: yard_man	Read Replies (1) \| Respond to of 990

>> I actually think DROOY will disappoint - << would that be meeting expectations?? sorry, I'll lay off ...

To: Real Man who wrote (841)	10/21/2009 1:51:34 PM
From: carranza2	Read Replies (1) \| Respond to of 990

Strike is over. drd.co.za Its operating expenses per oz. are quite high, in the $800 range now. drd.co.za A lot of the gold is underground, in relatively deep mines. They have to deal with a tough union. All good reasons for the low share price. The the total of 54 million ounces in reserves claimed and a $1,000 per oz. POG with a $800 cost per oz. to recover, suggest that the co. is still undervalued. Keeping the POG and recovery cost the same over the next 20 years then discounting by 50% yields pretty much the present market cap. If you are a gold bug, er, bull, and think POG will go manic, and more important, are willing to hold on to the shares for a 3 to 7 year period, it seems likely that DROOY will not disappoint. I do think gold will eventually go manic, but I also think politics will in the mid-term become a very serious problem for the SA gold producers.