Yes valuations on most smaller gold producer stocks are very low - driving by general crap mkt sentiment, notable failures / underperformers in the sector over the last year or so, and impacts of raising costs. It's time to do research, slowly accumulate on the bigger dips, and be patient. I think with DIO, you need to have a timeframe of at least to the September quarter.
For Dioro, I am looking for over the next few months:
- Have they driven South Kal cash costs under $600 (this may not happen in the February quarter, as it is the first quarter they have had control) - Resource extension results from Shirl underground (particularly looking for results 50 g/m plus) - Step-out results from Frogs Leg - Resource update from Frog's Leg, incorporating 'Gap' results, and initial indications from mine re-optimisation - Indication of ground conditions, development rates, and reconcilitation of reserve grade at Frog's Leg
Angus
DIO Price at posting:
0.0¢ Sentiment: None Disclosure: Held
