Monday, March 17, 2008

Dioro Exploration (DIO.ASX)

Dioro is not my favourite stock but its one worth keeping an eye on. The problem it has is that its always operated on a small gold inventory, and its always held a minority stake it its Frogs Leg project in WA. I think it recently purchased the Hampton Hill gold mine with 3 years reserves left. It also intends to increase reserves. I always see this stock has having trouble getting ahead. The capital raising to fund exploration after 5+ years of production being a case in point. But yes, you can expect this company to finally get ahead, but its not my favourite entry. At the very least it makes sense to wait for a better entry.
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Andrew Sheldon www.sheldonthinks.com

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