Bobwins

SEMAFO: Junior Gold Miner Shines

Mark Medayski, you are right. You should stay away from stocks trading on the Toronto Stock Exchange. This is the senior Canadian exchange and only bigger, more well established companies can trade there. Better you stick with your low risk bankrupt US stocks!

All kidding aside, Semafo looks like a slam dunk bargain.

Produced 54,000oz of gold in Q2. They just installed a new ball mill at Mana that will double production capacity. Since they produced around 7800 oz in July, it looks like they will ramp up to around 15,000 oz for Mana later this year. So the .05eps they earned in Q2 isn't the peak production.

Annualized the .05 eps turns into .20eps and the stock should be selling for around $4. Although it trades in Canada, SMF.to doesn't appear to have that much of a following in Canada. Maybe the African location scares some away. Seems really cheap and mgmt appears very capable after bringing three mines into production. Most companies nowadays can't bring one to production.

Bobwins