Value Microcaps Junior Miners

[checkmate28]

BRD.TO Brigus Dr Air I like Brigus as well and keep a good eye on them for the turn around as they experienced opps problems early this year. They hired new technical personnel to get back on track. They have been guiding since the beginning of the year to get cash costs to $700 and run rate to 100k by EOY.
One thing you have to remember not to forget with Brigus. They have a contract with Sandstrom to sell 12% of their current and FUTURE Black Fox gold back for $500/oz. A triple wammy in those last 10 words. Then Brigus just bought back 4% of the stream for $24 million and has to pay back the loan.

Thats a big hit, especially since their all in costs are surly over $1000/oz. So they have to take 8% of their production and sell it to Sandstrom for $500/oz. Roughly speaking without getting technical, thats like loosing the earnings of 20% of their total production and thats not even factoring the 24.4M loan.

On the positive, additional exploration and development should allow for the expansion from 2000tpd to 3500tpd in a couple years.

I like them better at .80 - .90
Checkmate28