stlamc Thanks - I have seen the video I agree that there is a...

stlamc

Thanks - I have seen the video

I agree that there is a lot of gold in them there hills. I have not doubted that.

Over the last few years they have consistently failed to meet the sort of outcomes that would provide for a PE of 3.

Plus they have hidden their true all in costs of production.

Have they indicated the costs of mine works required to get to the point that they can hoist 2,500-2,700 tonnes per day so that they can feed the 2,500 tpd mill and the timeframe for this development? When do they think they can achieve average mill grade of 7.2g/t (current reserve estimate), which would get them close to 200k ounce per annum?

The positive is that at 100k ounces per annum (current production level) they are keeping their heads above water at a USD1200 gold price so if they ever actually get close to 200k ounces per year they would be be making a lot of money, and in this respect their forward PE is low. The dream lives on.

MML's tax free status can not have too much longer to run, I imagine. It is a pity they were unable to make hay while the sun shone (except in the early tears when operating at 8/t mill grade) to benefit from that provision.

MML still needs to prove that it can deliver its main target - ie 200k ounce pa production. And I stand by my comments above the cost of the mill. Forward PEs are hard to believe when past targets have been pie in the sky, and I take what analysts say with a grain of salt. In fact when I sold out at $1.60 on a quarterly report last year on the open despite my broker's analyst sending me (and other clients) an urgent pre-market opening update to buy MML because he believed the bad quarterly report released after hours the previous day provided us with a huge buying opportunity. I had a good laugh when my broker told me to read that report before selling.

I still have MML on my watchlist and will consider buying some shares when I think the gold price has bottomed and I believe they are going to achieve a much higher level of production.

Good luck.

loki