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BDG, BENDIGO MINING LIMITED
suti
post Posted: Jun 5 2011, 10:24 AM
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This has been a dog for those who have held for a long time, but it looks interesting to me now. Backed by 8c cash + 2c in shares of Goldstone, the Henty mine could crank out some nice profits for them assuming the gold price in AUD holds up. 45000 Oz/yr at say $550 cash profit margin = $25m/yr. Less say about $10m/yr in exploration to try and expand the 4 yr mine life and things start to look interesting. Machinary and inventory left at Bendigo could be worth something for a buyer in a takeover as well.

 
nifty49
post Posted: Aug 23 2010, 06:47 AM
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I am a BCD holder and am happy to read this.......

NICE to see that Bendigo Mining's calculated punt that the Henty gold mine in Tasmania has more gold to give up looks as if it is going to pay dividends.

The discovery of a new zone of high grade gold mineralisation close to existing mine development suggests that Henty, acquired by Bendigo for a knockdown price in July 2009 with very few reserves under its belt, is going to be around for some years yet.

The ore pods at Henty have historically ranged from 50,000 ounces to 250,000 ounces in size, at an average grade of about 12 grams of gold a tonne.

Even at 50,000 ounces, we're talking about a potentially big value shift for the company, given gold is as strong as ever at $A1373 an ounce.




 
netsuke
post Posted: Jul 21 2010, 06:33 PM
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Trading Halt. Merger mentioned.

Beaconsfield (BCD) also has a similar trading halt in place... looks interesting.

 
flower
post Posted: Jul 12 2010, 06:53 PM
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In Reply To: netsuke's post @ Jul 12 2010, 05:12 PM

Hi netsuke--you highlight one of the big problems for most of the ASX gold producers and that is the strength of the AUD.

With Gold in AUD at 1386 operating costs of 875 or more is getting very tight, today BDG has a gross margin today of $AU 510 an ounce, dont know if it has any hedging, but anything much higher in production costs or a much higher AUD with static or dropping USD gold prices makes the operation very very tight profit wise.

Compare that with LGL which has a gross margin of USD778 per ounce, with operating costs at USD434.

(There is a very small near gold producer--AND--that is expecting a gross margin per ounce for the first few production years of about USD1.149 per ounce at todays USD prices-- ie production costs of only USD60/70 per ounce)
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Combining Fundamental comments with Fundamental charts.
 
netsuke
post Posted: Jul 12 2010, 05:12 PM
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A few decent looking updates in these past 2 weeks, plenty of potential upside by way of new discoveries at either Bendigo or Henty, or even Africa via Goldstone Resources.

80000 oz produced in FY2010,

operating costs relatively high at $980/oz though..

however in the Resources Victoria Conference 12-14 July 2010 presentation (out today) they mention Operating costs <$875/oz

so I'm not sure exactly which operating costs to expect, I guess between $875 & $980

Any thoughts?


 
jbeatty
post Posted: May 13 2010, 11:42 AM
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In Reply To: Duster's post @ May 13 2010, 11:10 AM

Both Arty's cat and mine are much loved and deeply missed ex cats.

Both loved "supervising" the online share trading business.

"Leo's" replacement ("Tigga") is still learning how not to share trade, ie, not to walk on the keyboard stun.gif



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Duster
post Posted: May 13 2010, 11:10 AM
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In Reply To: jbeatty's post @ May 13 2010, 11:06 AM

Hey Arty, your cat's had a face lift.....lol



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Patience is the key to success.
 
jbeatty
post Posted: May 13 2010, 11:06 AM
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In Reply To: veeone's post @ May 12 2010, 11:06 AM

All good news.

I continue to trade the swings in BDG, slow but relatively safe way to earn an honest quid. smile.gif





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veeone
post Posted: May 12 2010, 11:06 AM
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It must be the fresh air the boys from Bendigo Mining (ASX:BDG) take in each day. Here was their chance to be as cynical as the big end of town and cite the Rudd government's proposed 40 per cent resource rent tax as a factor in the decision to get Bendigo involved in the west African gold boom.But no. Bendigo's move in to west Africa through a $3.5 million strategic alliance with AIM-listed GoldStone Resources was the subject of a long due diligence process and had nothing to do with the dreaded RRT.
Having said that, Bendigo's chief financial officer Tim Churcher did make the point that any investment in the mining/exploration game is always a trade-off between geological potential and political risk. It is on the latter point that west Africa has all of a sudden become more attractive compared with Australian opportunities, thanks to the proposed RRT.
So while west Africa's high geological potential and high political risk remains, Australia has moved from low (comparative) geological potential and low political risk to low geological potential but with high political risk.
The company's west African safari is as derisked as they come. Initially at least, Bendigo has taken up a 20 per cent stake in GoldStone, with attached warrants to go to 28 per cent if it wants.
GoldStone's management is based in South Africa and includes some guys that are now doing it for themselves after spending time with SA's gold heavyweights.
GoldStone's key asset is the Homase project in Ghana's Ashanti gold belt. It has got a gold resource of 282,000 ounces that sits beneath and along strike from the Homase open-cut which was mined by AngloGold Ashanti but abandoned when gold prices were off colour.
It's a small investment by Bendigo which at last count was sitting on $57 million cash. But as African safaris by other ASX-listed companies has shown, small investments over there can pay off big time in terms of low finding costs for lots of the yellow stuff.
Bendigo continues to pull in reasonable cash flows from its Kangaroo Flat mine at Bendigo and the Henty mine in Tasmania. On that score, it's worth noting that gold is back in record territory after its surge last night to $US1231 an ounce. That's about $1375 an ounce in Aussie dollars. If it wasn't for the proposed RRT, the gold miners would be celebrating in the streets.
http://www.smh.com.au/business/tax-talk-as...00512-uvs4.html




 
johnnied
post Posted: Feb 23 2010, 06:11 PM
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In Reply To: johnnied's post @ Feb 23 2010, 04:49 PM

Yes, there are not many goldies with a dividend so I like their balanced style - growth with income.

 
 


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