Eurasia Gold Corp. (EGX:TSX-V)

[NYBob]

posted by penniefisher @ SH.

About The Company
Eurasia Gold Corp. ( v.egx ) is a gold producing company incorporated in Canada and headquartered in Toronto, Ontario. The company operates two gold mines in the Republic of Kazakhstan through its wholly owned subsidiary, Andas-Altyn LLP. The company’s primary business is mining and processing gold as well as acquiring and developing additional gold deposits in Kazakhstan. The mines use conventional open-pit mining methods and gold is extracted by heap leaching.



Mining projects

The Central Mukur and Myaly mining licences host 59 known zones of oxide mineralization. Six of these zones were mined during the year 2000. The remaining zones are at various stages of exploration or development to ensure continuity of mining operations. The two projects have an estimated resource of 850,000 ounces of gold with 67 zones of oxide mineralisation remain to be explored, according to Minesite. It is Eurasia’s objective to increase its annual gold production incrementally to 60,000 ounces. This increase will come through increasing the production capability of the two existing projects, and through acquisition and development of other oxide deposits in Kazakhstan. The Board is continuing with its chosen strategy of running the company on an un-hedged basis.

The value today of the two Gold Mines development and infrastructure would cost above $40 millions. Add the value of 59 more gold deposits with feasibility studies, and nearly 30 years of exploration activities made by the Soviet will indicate Eurasia's market cap of CDN $10.65 millions as of December 10, 2003 to be extremely undervalue.


Shares ownership structure

Number of shares oustanding: 118,332,250
Number of shares held by Thistle Mining and CIDEM: 68,269,253
Number of shares held by directors and officers: 4,283,437
Number of shares held by retail/instituition investors, ( float ): 45,779,560



Highlight from Q3, 2003 earning report ( in US dollars )

- amount of gold sold was 7,443 ounces
- average production cost for the 9 months was $246.00/oz
- gold was sold at an average price of $362.89/oz
- revenue was $2,701,000
- net profit was $169,000



Outlook for 2004

We can expect large increase in revenue and profit in the upcoming quarters as Eurasia will greatly benefit from much higher gold prices. Management has also proposed that an additional exploration of ore zones at Central Mukur will be initiated to further increase the mineable reserves during 2004. The combination of higher gold prices, increase revenues, and the 2004 exploration program can take EGX to a new height. Eurasia is a small and low cost gold producer that will offer investors the best leverage in a rising gold bull market, imo.

"Positive earnings immediately put a penny stock company above 85% of the others. If those earnings are showing signs of increasing from one quarter to the next, you may be able to profit greatly from the underlying shares, especially if you get in early and the trend of increasing earnings continues... In the end, a company can only survive by making more money than it spends. This is a fact, and a very painful one for many investors and corporations who have lost sight of the rules of the game." Penny Stocks: The Book by Peter Leeds

Eurasia had already made a profit in Q3 by selling gold at only $362.89/oz. It won't be long until Eurasia Gold can reported the selling of gold at $400/oz plus.


Interview with Ferdinand Lips a world-reknowned gold expert

http://www.smartstox.com/interviews/gata.html



Gold is Money Forum

http://www.goldismoney.info/forums/showthread.php?t=5278



Officers


WILLIAM P. MCLUCAS
Chairman of the Board

GRAHAM BEVAN
President

HARVEY MCKENZIE
Chief Financial Officer

BALTABEK K. MUKASHEV
Vice-President


Contact Eurasia Gold

Phone: [phone]
Fax: [phone]

Suite 2215 - 120 Adelaide Street West
Toronto, Ontario
Canada
M5H 1T1

http://www.eurasiagold.com


Please do your own DD before buying any stocks.