Value Microcaps Pick Six Lotto 13

[Bobwins]

Nsomniyak Challenge:

AGT Apollo Gold is a new producer operating the Black Fox mine in Canada. AGT is forecasting 150,000 oz per year once they reach full production. They have had some challenges during startup due to low grades in the open pit. Processing thru the mill is ahead of schedule, with the company reporting 1800tpd several weeks ahead of schedule. Today they announced a toll milling agreement for some lower grade ore that has been stockpiled.

CHGY.ob Coal producer in China that has recently reopened their mine. Should dramatically improve production, revs and eps.

FR.to First Majestic is currently finishing the major expansion at their largest silver mine in Mexico. The La Encantada mine is their largest and lowest cost mine. Production is forecast to increase from 800tpd to 3500tpd after the expansion is done. Production should increase from 4.2million oz in 2008 to over 5million oz in 2009 and 6 million oz in 2010.

LMA.to La Mancha is operating three smaller gold mines in Africa and Australia. LMA is minority partner on the two African mines but the recently opened Australian mine, which LMA operates, has boosted production and eps. LMA is guiding for 100,000 oz in 2009. They have a 4th mine that should add 30K oz in 2010. It is a short life mine with only 27 months of proven reserves but should provide revs to fund exploration internally,minimizing dilution. Cashflow of .08 in Q2 so still cheap.

LPIH.ob Longwei Petroleum is a Chinese wholesale fuel distributor. They currently operate one facility with storage capacity of 50,000 tonnes of fuel. They are building a new facility in another city in the province that has 70,000 tonnes storage. Revs should more than double by 2010. Currently selling for a forward p/e of 6 before the new facility opens.

TELT.ob Telt posted a huge qtr of .20eps for Q2. The improved performance over losses in 2008 came from closing a facility in Salt Lake City. Company is generating increased revs and lower costs. Currently selling for .55 so unbelievably cheap if they can continue profitable operations anywhere close to Q2.
Telt.ob will need a couple more qtrs of profitable operations before investors bid up the share price.