American Bonanza (T.BZA)

40 posts / 0 new
Last post
GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
American Bonanza (T.BZA)

American Bonanza is a very undervalued near term gold producer at $0.37 a share.  They will be starting production in August/September of 2011.  They are fully funded, no hedges, and fully permitted.   They also own millions of shares of other gold miners such as Balmoral Resources which just had some of the best drill results I have ever seen from the Fenelon, QC property that American Bonanza sold them for the shares.  Do your own DD but this is a hidden gem.

http://www.americanbonanza.com/i/pdf/Metal_News_Article_01122011.pdf

http://www.goldminerpulse.com/gold-mining-valuations.php

http://www.321gold.com/editorials/moriarty/moriarty051211.html

http://www.balmoralresources.com/s/NewsReleases.asp?ReportID=455031&_Type=News-Releases&_Title=Balmoral-Reports-Multiple-High-Grade-Gold-Intercepts-From-ConfirmationExpan... title=
 

Edited by admin on 11/08/2014 - 05:20

__________________

Stupid is, is what stupid does...

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
OTC Symbol for U.S. investors= (ABGFF)

OTC Symbol for U.S. investors= (ABGFF)

__________________

Stupid is, is what stupid does...

KiniK
KiniK's picture
Offline
Joined: 06/15/2011
Hat Tips: 418
Posts: 20
Thanks for the tip, I'm going

Thanks for the tip, I'm going to look into this more but it looks like a great story.

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
Had to bring this one back to the top!

Sorry guys, the more I look at how much this company is undervalued the more I realize this is a steal.  $0.37 for a company who has cash, all permits, built mill, no hedges, no debt and will be pouring gold in 2 months.  Just buy 10,000 shares for $3700 and thank me in October.  The deposit might not be the biggest but it has very good grades and is open in all directions.

__________________

Stupid is, is what stupid does...

Prem124
Prem124's picture
Offline
Joined: 06/15/2011
Hat Tips: 587
Posts: 34
I might buy some of their

I might buy some of their shares. It does seem undervalued.

Check Gryphon Gold Corporation as well. It is in a very similar situation with production starting in Sep 2011 and extremely undervalued as well.

http://www.gryphongold.com/main/files/files/Presentation_110526.pdf

Actually a lot of emerging producers are undervalued atm.

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
Looks Good

Look like they have good management and will be in full production by 02/2012. Will Gryphon have to dilute shares to get the $27 million of capital needed for full production? 

__________________

Stupid is, is what stupid does...

Prem124
Prem124's picture
Offline
Joined: 06/15/2011
Hat Tips: 587
Posts: 34
They have 10 million needed

They have 10 million needed for startup and will start producing using leach pads from september (at least they plan to). The remainder of the money is to be funded internally as they have quite a bit of unprocessed mined ore that will need crushing and placing on heap leach pads. They are to start producing i.e. production phase 1 and profits from first few months will be used to finish off the startup i.e production phase 2 in feb 2012 (slide 13 of presentation). Production phase 1 which is planned to start sep 2011 is fully funded for. They are similar also in cash costs per oz (but Bonanza gold will have better cash cost when Gryphon eventually (in 1-2 years) moves to process sulphides which are generally more expensive to process). Production of 40-50 000 oz is also comparable although I feel Bonanza Gold are few months ahead in terms of startup.  The market cap is about 30 million CAD and they have 2 million oz at the moment with a lot of upside for 5+ million oz deposit. On the other hand Bonanza gold has all deposit categorized as oxide which is more environmentally friendly as no cyanide is needed. Overall, both have good upside, both in mining friendly jurisdictions and that is why I thought I will mention GGN.

jlam
jlam's picture
Offline
Joined: 07/21/2011
Hat Tips: 41
Posts: 7
ABGFF

Hey, thanks for sharing American Bonanza's story.  After doing some DD and seeing some other posts regarding that company, I went it and bought a few shares.  I think with the operation and production plan that they just may hit the market at the right time in relation to gold price.  To me this is a no brainer since they have plenty of cash on hand with the ability to strike new deposits in depth.  It can only head North from here. 

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
Load up the boat! And then throw out the oars to make more room!

I heard that an American Bonanza insider gave a couple million shares to a charity and they have been selling the shares in to the open market which has suppressed the share price.  They should be almost done with their sales and the price will sky rocket in the next 2 months.  They predict that they will be producing 40,000 ounces their first year and at an average cost around $400-500 an ounce.  At $0.39 this is by far the best buy of the 200 gold miners that I follow. STRONG BUY!!

Also watch Romios Gold (RMIOF)(RG.V), I heard they have a possible monster deposit  that they are currently drilling and we should start hearing results in the next 2 months.

P.S.: Did you see Prophecy Coal again today?  One of my best trades of the year!!

__________________

Stupid is, is what stupid does...

bobby
bobby's picture
Offline
Joined: 06/14/2011
Hat Tips: 2892
Posts: 195
GoldistheFuture wrote: Also

GoldistheFuture wrote:

Also watch Romios Gold (RMIOF)(RG.V), I heard they have a possible monster deposit  that they are currently drilling and we should start hearing results in the next 2 months.

yep, they rushed a third drill to the site and it went right to work which to me sounds like a significant development

I loaded up best I could

jlam
jlam's picture
Offline
Joined: 07/21/2011
Hat Tips: 41
Posts: 7
Romios

With Romios Gold being next door to NG's Galore Creek.  This could possibly be a huge takeover target someday.  They have a massive exploration property package and we saw what massive exploration companies can do (i.e. prophecy platinum, duluth, etc.). 

On another note, American Bonanza is the best value in my book with a huge IRR and it only gets better as the price of gold rises.

GLTA

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
WOW! We are good on this site..:)

I am so greedy.   I'm kicking myself for not buying more shares yesterday of Romios.  I guess I should be happy that I at least bought 5000 but I usually like starting off with at least 10,000 shares to do some real damage.  Dang wife keeps me on a leash.. :)  I can see this well over a dollar with good drill results and sitting right next to Nova Gold.  A major like Kinross or Barrick would be smart to buy them while they are cheap and then buy out NovaGold shortly after to corner the whole area.

__________________

Stupid is, is what stupid does...

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
American Bonanza about to Explode!

Jay Taylor and Chin Lin from www.miningstocks.com are both in American Bonanza as of last week. American Bonanza has 8 months worth of ore just sitting outside of their mine waiting to be milled.  They start production in October and will be in full production by Jan. 2012.  I told you to buy at $0.36 and todays price at $0.44 is the new floor.  Get in today because we wont be under $0.50 ever again after October.

__________________

Stupid is, is what stupid does...

Manager Mr
Manager Mr's picture
Offline
Joined: 06/21/2011
Hat Tips: 371
Posts: 5
Andrew Cook announced in a

Andrew Cook announced in a BNN Market Watch interview that Bonanza is one of his top picks.

http://watch.bnn.ca/#clip525700

It's the last segment of Market Watch, so if you go to the bottom of the page and select Part 4, then you'll hear his opinion of BZA about halfway through the interview.

Doople
Doople's picture
Offline
Joined: 06/14/2011
Hat Tips: 1685
Posts: 108
What is not to like here?

What is not to like here? American Bonanza up 44% in  the last five trading days.

smokey123
smokey123's picture
Offline
Joined: 09/07/2011
Hat Tips: 6
Posts: 1
i have a small position in

i have a small position in this ... bought if after it made the huge jump a few days ago.  Do you see this stock going down quite a bit before it ramps back up ?  Suggestions?  thanks

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
New Floor

The volume has picked up dramatically which is obviously institutional buying.  I think the new floor is $0.60 a share. This will be over a $1 by November when they are in production, so anything under that will be good long term.  Good Luck trading!

__________________

Stupid is, is what stupid does...

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
American Bonanza commercial on Fox Business Today!!

I recommended buying this at $.36 and I still recommend it at $.58.  They just raised millions of dollars between selling their Balmoral shares and closing a financing deal last Friday.  They are going to use this cash to drill out their open pit that is open in all directions with an average of 10.3 g/t oxide. Brian Kirwin also talks about buying another property to bring into production in this February interview.  Check out this interview!! Anyone else see the ad on FOX Business?                                                                                                                                                                       

http://www.andrew-racz.com/Brain-Kirwin-President-by-Andrew-Racz.html

__________________

Stupid is, is what stupid does...

metcoalfan
metcoalfan's picture
Offline
Joined: 07/18/2011
Hat Tips: 1982
Posts: 175
Didn't see the commercial, but

I noticed a 'top story' yesterday on fox news website. An old underground mine in Cali reopening. Now ads. Is the tectonic shift to mainstream starting to creep forward at a faster pace. Thx for headsup on this one, I managed to pick up a few last month. I saw these guys at a convention down in Orlando early this year. Should have bought back then. Oh well.

GoldistheFuture
GoldistheFuture's picture
Offline
Joined: 06/22/2011
Hat Tips: 1804
Posts: 152
Just a Reminder!

Just wanted to remind everyone that American Bonanza is going into production in November and they have $16 million now in the bank.  With this latest pull back I would be backing up the truck!! Good Luck everyone!!!

__________________

Stupid is, is what stupid does...

jlam
jlam's picture
Offline
Joined: 07/21/2011
Hat Tips: 41
Posts: 7
American Bonanza Gold

Thanks for the reminder, I added to my position yesterday.  I think it is obvious most junior producers got crushed in the last few weeks; however, with the price of gold holding steady at 1600+ we are indeed in a position to make a very nice run.  Looking forward to the start up of the mill in November.  This will be an exciting year for American Bonanza.  My advice...Get in while you can at these levels.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Topic locked
Syndicate contentComments for "American Bonanza (T.BZA)"