Perseus Mining Ltd. buy Muvitours

Gute Chance

 As it's a four page document I've cut and pasted some of the summary elements of the latest BGF Equities research released on January 4. All pretty positive.
Note the analyst's defense of PRU as having loads of exploration upside against claims the stock is "maturing".
Also some interesting stuff about the heap leach potential of Grumesa taking production to more than half a mill ounces per annum and acknowledgement that every increase in reserves increases the likelihood of a takeover.
Not a word about the Ivory Coast political strife though.
Cheers, Apataki

STRONG BUY
Price: $3.38 Target: $5.00
Investment Perspective: Perseus remains our preferred gold stock,
offering gold production from two development projects, exploration
potential and compelling takeover appeal. The ability of the
management to deliver the reserve increase on time, from 2.75 Moz to
3.9 Moz, further re-enforces our confidence levels.
We expect to see the more conservative analysts upgrading their price
targets as a result of this upgrade, and hence further buying pressure
will emerge in the market. We have lifted our target from $4.50 to $5.00.
Each time the reserves increase the more likely it is that a takeover
bidder will move on the Company.
There has been a misconception in the market place that Perseus is
maturing and therefore no longer offers much exploration upside.
Nothing could be further from the truth. Not only is there enormous
potential for millions more ounces at depth below existing mine plans at
CAGP, but the licences in Cote DʼIvoire are revealing exciting soil
anomalies that promise to host significant new discoveries. As we have
noted in the past, a large majority of drilling in the last 18 months has
been centred on resource and infill work, and with the ability to now shift
attention to exploration, the real potential of both CAGP and Tengrela
will become apparent.
Perseus continues to offer excellent relative value based on resource
size and growth potential, plus a production profile that could exceed
450,000 oz pa by 2014. Few Australian gold companies can boast this
level of growth potential, or, such a quick path to this level of production. Source: ASX
Share Price $3.38 32% disc. to valuation
Valuation $5.00 Net Asset Value/share
12 Month Lo-Hi $1.47 - $3.55
$1.47 - $3.55
Market Cap. $1,429m
Issued Shares 422.82 m fully paid ordinary

The large, low-grade Kayeya gold deposit is amenable to low cost heap leach processing and the Company has applied for a Mining Lease with the aim of developing a modest satellite heap leach operation.
Considerable potential exists for further resources, given that the upper 45m of the deposit as currently defined contains more than 12,000 ounces of gold per vertical metre and there is limited drilling below 45m.
In addition, about a third of the deposit?s 3sq km footprint remains under-explored.

We see further upside for PRU going forward as the Company continues to achieve milestones on its way to first production at CAGP in late 2011. Catalysts to drive further upgrades to our expectations include:
? Further resource upgrades at CAGP as drilling tests deeper exploration targets and infill
drilling on other targets results additional resources brought into reserves
? Increases to reserves at Tengrela to build on the projectʼs maiden 654,000 oz reserve
announced in November
? Firm development plans for Grumesa as a low cost heap leach production centre, potentially taking PRUʼs production capability to beyond 500,000 oz pa.