Paul Wright, President and CEO of Eldorado Gold, was pleased to announce EGO's 4th quarter production from their Kisladag and Tanjianshan mines today. Production was higher than my projections, at a combined 107,000 ounces from the two mines with a cash operating cost of $307 per ounce. This put the yearly production higher than management projections of 330,000 ounces (it was 342,820). This increase of production put my estimated 4th Quarter EPS at $0.10 from $0.09. Full financials will be announced in March.
Eldorado keeps outperforming their production targets each quarter. The recent merger with Sino-gold will allow EGO to continue to produce more and more gold at less than a $400 cash cost. It should just be a matter of time before EGO hits my price target of $16 a share. EGO closed at $14.90 today (1/14/10).
No comments:
Post a Comment