June Research Report

@nordesmic

Hi Nord,

If you're listening. Great effort on your report. With the efforts you are making producing those videos and the well researched reports I hope you are able to monetise them somehow if that is your goal.

Just one gripe I have and I'm pretty sure you can guess what I'm going to say.

Yes. You left Rand and Tribune out of your report. Have a look at their performance in the first half of this year and don't tell me they don't rate a mention. OK you're about to say they don't produce enough gold to rate a mention. Well combined they'll be producing 100-110koz/annum on a consistent basis soon if you believe NST.

But here's the kicker for you. With their pile of gold and cash they could in theory (based on the market caps presented for the companies in your list and assuming no take-over premium) buy outright any of 8 of the 15 companies on your list. You'd probably be able to tell me better than most how many ounces of annual gold production $200 million could buy. Well for example TBR/RND could probably come pretty close at making a successful tilt at TRY or DRM for $200 million and that's approximately 175koz and 160koz per annum respectively that these companies are targeting.

So in theory RND/TBR could pay their way to being a 260-285koz/annum producer with between about o and 50 million of debt depending on which company they took over DRM or TRY.

Well this is never going to happen, but it shows that TBR/RND can be looked as ranking probably in the top 3 ASX juniors by "potential" production on this "take-out" another ASX gold producer basis.

Most professional analysts exclude RND/TBR in their summaries and most but not all companies do as well. Maybe you shouldn't ignore them nordesmic. After all they do have the lowest cash cost of production of any gold miner that I know of and check out how many shares they have on issue compared to every other gold company on your list. Sometimes the traditional metrics that people use just don't tell the whole story my friend.

Eshmun